Entries for Installment Note Transactions

On January $1,$ Year $1,$ Bryson Company obtained a $$47,000,$ four$-$year, $9\%$ installment note from Campbell Bank. The note requires annual payments of $$14,507,$ beginning on December $31,$ Year $1.$

a$.$ Prepare an amortization table for this installment note, similar to the one presented in Exhibit $4.$

Note: Enter all amounts to the nearest whole dollar. Round Year $4$ Interest Expense $($up or down$)$ to ensure the carrying amount is zero at the end of the note term.

Amortization of Installment Notes

b$.$ Journalize the entries for the issuance of the note and the four annual note payments.

Note: For a compound transaction, if an amount box does not require an entry, leave it blank. For the Year $4$ entry $($due to rounding$),$ adjust Notes Payable up or down to ensure that debits equal credits.