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On January 1, 2017, a company borrows $1,000 cash by signing a four-year, 5% installment note. The note requires four equal payments of $282, consisting
On January 1, 2017, a company borrows $1,000 cash by signing a four-year, 5% installment note. The note requires four equal payments of $282, consisting of accrued interest and principal on December 31 of each year from 2017 through 2020. Requirements: 1. Prepare an amortization table for this installment note. 2. Prepare journal entries to record the loan on January 1, 2017, and the four payments from December 31, 2017, through December 31, 2020
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