On January 1, Year 1, Brown Co. borrowed cash from First Bank by issuing a $112,000 face-value, four-year term note that had an 8 percent annual interest rate. The note is to be repaid by making annual cash payments of $33,815 that include both interest and principal on December 31 of each year. Brown used the proceeds from the loan to purchase land that generated rental revenues of $64,000 cash per year.

Required a. Prepare an amortization schedule for the four-year period. (Round your answers to the nearest dollar amount.) BROWN CO.Amortization Schedule$112,000, 4-Yr. Term Note, 8% Interest Rate

YearPrin. Bal. on

Prin. Bal onJan. 1/ Cash Pay. Dec. 31/ Applied to Interest/ Applied to Principal/ Prin Bal. End of PeriodYear 1

Year 2

Year 3

Year 4