The following transactions apply to Stegall Co. for 2014, its first year of operations.

1. Received $200,000 cash in exchange for issuance of common stock. 2.

Secured a $400,000, 10-year installment loan from First Bank. The interest rate was 6 percent and annual payments are $54,348.

3. Purchased land for $120,000. 4. Provided services for $240,000 cash. 5. Paid other operating expenses of $170,000. 6. Paid the annual payment on the loan.

a.

Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. Select "NA" if there is no effect on the "Accounts Titles for Retained Earnings".)

b. Prepare a balnce sheet

c. Prepare an income statement

d. What is the interest expense for the years

2015 and 2016?