Question: On October 31, 2011 Ronald signed a 2-year installment note in the amount of $50,000 in conjunction with purchase of equipment. This note is payable

On October 31, 2011 Ronald signed a 2-year installment note in the amount of $50,000 in conjunction with purchase of equipment. This note is payable in equal monthly installments of $2,354, which include interest computed at an annual rate of 12%. The first monthly payment is made on November 30, 2011. This note is fully amortizing over 24 months. complete the amortization table for the first two payments by entering the correct dollar amounts in blank spaces provided. In addition, answer the question that follow. Repayment Unpaid Nov 30 2011 interest expense......... Principal ...... Blance....... Dec 31 2011 interest expense......... principal........ Blance.... a) What is Ronald's 2011 income statement interest expense? b) What is Ronald's 2011 total liability for this note payable on the balance sheet? c) How much total cash payments will Ronald make over the 2-year life of the note payable? d) How much total interest will Ronald pay over the 2- year life of the note payable

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