Exercise $14-20($Static$)$ Installment note; amortization schedule $[$LO$14-3]$

American Food Services, Incorporated, acquired a packaging machine from Barton and Barton Corporation.

$-$ Barton and Barton completed construction of the machine on January $1,2024.$

$-$ In payment for the $\backslash (\backslash$$ $4\backslash )$ million machine, American Food Services issued a four$-$year installment note to be paid in four equal payments at the end of each year.

$-$ The payments include interest at the rate of $\backslash (10\backslash \%\backslash ).$

Required:

$1.$ Prepare the journal entry for American Food Services' purchase of the machine on January $1,2024.$

$2.$ Prepare an amortization schedule for the four$-$year term of the installment note.

$3.$ Prepare the journal entry for the first installment payment on December $31,2024.$

$4.$ Prepare the journal entry for the third installment payment on December $31,2026.$

Note: Use tables, Excel, or a financial calculator. $($FV of $\backslash$$$1,$ PV of $\backslash$$$1,$ FVA of $\backslash$$$1,$ PVA of $\backslash$$$1,$ FVAD of $\backslash$$$1$ and PVAD of $\backslash$$$1)$

Complete this question by entering your answers in the tabs below.

Req $2$

Req $13$ and $4$

Prepare an amortization schedule for the four$-$year term of the installment note.

Note: Round intermediate calculations and final answers to the nearest whole dollar.

Exercise $14-20($Static$)$ Installment note; amortization schedule $[$LO$14-3]$

American Food Services, Incorporated, acquired a packaging machine from Barton and Barton Corporation.

$-$ Barton and Barton completed construction of the machine on January $1,2024.$

$-$ In payment for the $\backslash (\backslash$$ $4\backslash )$ million machine, American Food Services issued a four$-$year installment note to be paid in four equal payments at the end of each year.

$-$ The payments include interest at the rate of $\backslash (10\backslash \%\backslash ).$

Required:

$1.$ Prepare the journal entry for American Food Services' purchase of the machine on January $1,2024.$

$2.$ Prepare an amortization schedule for the four$-$year term of the installment note.

$3.$ Prepare the journal entry for the first installment payment on December $31,2024.$

$4.$ Prepare the journal entry for the third installment payment on December $31,2026.$

Note: Use tables, Excel, or a financial calculator. $($FV of $\backslash$$$1,$ PV of $\backslash$$$1,$ FVA of $\backslash$$$1,$ PVA of $\backslash$$$1,$ FVAD of $\backslash$$$1$ and PVAD of $\backslash$$$1)$

Complete this question by entering your answers in the tabs below.

Req $2$

Req $13$ and $4$

Prepare an amortization schedule for the four$-$year term of the installment note.

Note: Round intermediate calculations and final answers to the nearest whole dollar. Complete this question by entering your answers in the tabs below.

Req $2$

Req $13$ and $4$

Prepare the journal entries for American Food Services' purchase of the machine on January $1,2024,$ the first installment payment on December $31,2024$ and the third installment payment on December $31,2026.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars.

Journal entry worksheet

Record the purchase of the machine on January $1,2024.$

Note: Enter debits before credits. Complete this question by entering your answers in the tabs below. polnts

Prepare the journal entries for American Food Services' purchase of the machine on January $1,2024,$ the first installment payment on December $31,2024$ and the third installment payment on December $31,2026.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars. Complete this question by entering your answers in the tabs below.

Prepare the journal entries for American Food Services' purchase of the machine on January $1,2024,$ the first installment payment on December $31,2024$ and the third installment payment on December $31,2026.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars.

Journal entry worksheet

Record the third installment payment on December $31,2026.$

Note: Enter debits before credits.