Please do question 2

On January 1, 2024, Benson Company purchases new equipment for $659,000. Benson is required to make a down payment of $125,000 and issue an installment note for the remaining balance of $534,000. The note requires payments of $72,896.23 every three months, beginning March 31, 2024, over the next two years. The interest rate on the note is 8% annually (or 2% every three months).

Required:

1. Record the purchase of equipment with down payment of $125,000 and the installment note of $534,000 on January 1, 2024.

2. Record the first payment of $72,896.23 on March 31, 2024.