The following information applies to the next 2 questions On January 1, 2022, Ryan & Co acquired a machine by issuing a Note of $400,000 to be paid in 4 years The Note required an interest payment of 5% of the note principal (520.000) at the end of each of the next four years. The cash market price of the machine is unknown. And a reasonatie market rate of interest on similar notes is 9% Present Value of $1 for 4 periods at 5% Present Value of $1 for 4 periods at 0% 82270 70643 Present Value of Ordinary Annuity for 4 periods at 5% 3.54505 Present Value of Ordinary Annuity for 4 periods at 9% 3.23972 At what amount will the asset be recorded at the time of the exchange? Oa $400,000 Ob $283,372 Oc. $354,291 Od. $348,166 Continued from previous question On January 1, 2002. Ryan & Co. acquired a machine by issuing a Note of $400,000 be paid in 4 years The Note required en interest payment of 5% of the note principal $20,000 then feach of the next four years. The cash markat price of the machine is unknown And a reasonable market rate of enterest on similar notes is 0% Present Value of $1 for 4 periods at 0% Present Value of $1 for 4 periods at 9% 2270 20043 Print Value of Ordinary Annuity for & periods on 5% 354595 323072 Present Value of Ordinary Annuity for 4 periods at 9% Assume that Ryan & Co. use the effective interest method to amortize prensues and discounts, the journal entry of December 31, 2022 (end of the first year) would include O a Debit to interest Expense for $32.959; Credit to Discount on Notes Payable for $12.959 Ob. Debit to Discount on Notes Payable for $11.335: Credit to cash for $20,000 Oc. Debit to Interest Expense for $31,335 Credit to Discount on Notes Payable for $20,000 Od Debit to Cash for $20,000: Credit to Discount on Notes Payable for $12.059 Oe. Debit to interest Expense for $31,335; Credit to Discount on Notes Payable for $11,335