On January 1, 2019 Christiansen Co. sold goods to Parrott Co. and accepted a $80,000, 2%, 5-year promissory note. Interest on the note is due on December 31^st each year, beginning on 12/31/19. Based on a credit review, the appropriate borrowing rate for Parrott Co. is 11%. Assume that Parrott actually makes the correct interest payment each year as required on the contract.

Required:

1. Create a timeline that shows all elements of the Note Payable.
2. Use Excel to create an amortization of the Note Payable. Confirm you have the correct present value = $53,389.54.
3. Print out your Excel work use ctrl ~ to show your formulas, then save.
4. Create a general ledger under the accounting equation.
5. Make all necessary postings to recognize:

1. Issue the promissory note
2. Payment of the annual interest (all five years)
3. Collection of the note on December 31^, 2023