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Note On January 1, Year 1, Bryson Company obtained a $45,000, four-year, 8% installment note from Campbell Bank. The note requires a nual payments of
Note On January 1, Year 1, Bryson Company obtained a $45,000, four-year, 8% installment note from Campbell Bank. The note requires a nual payments of Prepare an amortization table for this installment note, similar to the one presented in Exhibit 4 a. Note: Round the computation of the interest expense to the nearest whole dollar. Enter all amounts as positive numbers. In Year 4, round the amount in the Decrease in Notes Payable column either up or down to ensure that the Carrying Amount zeroes out. Amortization of Installment Notes Ending (8% of January 1 Note Carrying Amount) December 31 Carrying Amount January 1 Carrying Amount Note Payment (Cash Paid) Decrease in 31 45,000 13,586 Year 2 Year 3 Year 4 b. Journalize the entries for the issuance of the note and the four annual note payments. Wote: For a compound transaction, if an amount box does not require an entry, leave it blank: For the Year 4 entry (due to rounding), adjust Notes Payable up or down to ensure t Next
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