On October 30, 2019, Sanchez Company acquired a piece of machinery and signed a 12-month note for $24,000. The face value of the note includes the price of the machinery and interest. The note is to be paid in four $6,000 quarterly installments. The value of the machinery is the present value of the four quarterly payments discounted at an annual interest rate of 16%. Required: 1. Prepare all the journal entries required to record the preceding information including the year-end adjusting entry and any payments. Present value techniques should be used. 2. Show how the preceding items would be reported on the December 31, 2019, balance sheet. 1. Prepare all the journal entries required to record the information given including the year-end adjusting entry and any payments. Payments are made at month-end on January 31, April 30, July 31, October 30 and December 31. Present value techniques should be used. GENERAL JOURNAL Score: 222/259 DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT Oct. 30 Machine 21,779.00 Discount on Notes Payable 2,221.00 Notes Payable 24,000.00 Dec. 31 Interest Expense 581.00 Discount on Notes Payable 581.00 Jan. 31 Interest Expense 290.00 Notes Payable 6,000.00 Discount on Notes Payable 290.00 Cash 6,000.00 Apr. 30 Interest Expense 666.00 Notes Payable 6,000.00 Discount on Notes Payable 666.00 Cash 6,000.00 Jul. 31 Interest Expense 453.00 Notes Payable 6,000.00 Discount on Notes Payable 453.00 Cash 6,000.00 Jul. 31 Interest Expense 453.00 6,000.00 Notes Payable Discount on Notes Payable 453.00 Cash 6,000.00 Oct. 30 Interest Expense 231.00 6,000.00 Notes Payable Discount on Notes Payable 231.00 Cash 6,000.00 2. Show how the preceding items would be reported on the December 31, 2019, balance sheet. Balance Sheet Instructions SANCHEZ COMPANY Score: 22/34 Partial Balance Statement December 31, 2019 Property, Plant, and Equipment: 2 Machine $21,779.00 Current Liabilities: Notes Payable $24,000.00 1,640.00 Less: Discount on Notes Payable $22,360.00