Orange County purchased a computer at a cost of $ 45,000. To finance the purchase, he signed a five-year promissory note, which requires five equal annual payments. Orange County will make the first payment in a year. Each payment will be in the amount of $ 12,795.
Suppose the note from the previous year carries an interest rate of 12% and Orange County will pay $ 10,000 annually over the five years of the note. At the end of year 5, in addition to the $ 10,000, Orange County will pay an additional amount.

1). What additional amount will Orange County have to pay to pay off the promissory note?
2). How much will Orange County owe after making the third annual payment?
3). What is the wage entry for the fifth payment, including the amount calculated in question (1)?

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