q2/JCC Incorporation issued a $160,000, 5-year, 9% note at face value to a Bank on January 1, 2014, and received $100,000 cash. The note requires annual interest payments each December 31.

Prepare JCCs journal entries to record:

a. The issuance of the note and

b. The December 31 interest payment.

Please type with the keyboard

MN Corporation investigates XY's underlying assets to determine their fair values: $307,500 27,000 Fair Values Property, plant and equipment, net Patents Inventories Receivable Cash 183,000 52,500 37,500 (82,500) Liabilities Fair value of net assets $525,000 XY Company decides to accept MN Corporation's offer of $600,000. Required: a. Calculate the fair value of net assets. b. Calculate the value of goodwill On January 1st, 2015, AMD Company purchased a machine for $350,000. The estimated useful life of the machine is estimated to be 5 years with an estimated residual value of $50,000. The machine's productive life in hours is estimated to be 50,000 hours. The following are the machine hours used by AMD. Year Hours used 2015 10,000 2016 9,000 2017 11,000 2018 12,000 2019 8,000 Find out the depreciation expense each year using activity method