A partial amortization schedule for a 10-year note payable issued on January 1, Year 1, is shown next: Accounting Period Year 1 Year 2 Year 3 Required Principal Balance January 1 $ 390,000 358,993 326,436 Required A Cash Payment $ 50,507 50,507 50,507 a. Using a financial statements model, record the appropriate amounts for the following two events: (1) January 1, Year 1, issue of the note payable. (2) December 31, Year 1, payment on the note payable. b. If the company earned $100,000 cash revenue and paid $64,000 in cash expenses in addition to the interest in Year 1, what is the amount of each of the following? (1) Net income for Year 1. Applied to Applied to Interest Principal $ 31,007 $ 19,500 17,950 32,557 16,322 34,185 (2) Cash flow from operating activities for Year 1. (3) Cash flow from financing activities for Year 1. c. What is the amount of interest expense on this loan for Year 4? Required B1 . Complete this question by entering your answers in the tabs below. Required B2 Required B3 Required C

a. Using a financial statements model, record the appropriate amounts for the following two events (1) January 1, Year 1, issue of the note payable. (2) December 31, Year 1, payment on the note payable. b. If the company earned $100,000 cash revenue and paid $64,000 in cash expenses in addition to the interest in Year 1 , what is the amount of each of the following? (1) Net income for Year 1 (2) Cash flow from operating activities for Year 1 (3) Cash flow from financing activities for Year 1 c. What is the amount of interest expense on this loan for Year 4? Complete this question by entering your answers in the tabs below