Question: Problem 6 (9 pts). Long term note payable 3% interest to be paid on December 31 of each vear. The machine could have been purthaned

Problem 6 (9 pts). Long term note payable 3% interest to be paid on December 31 of each vear. The machine could have been purthaned at a cash price of $835,992. The market interest rate oo lan. 1, 2023 for notes of similar risk is 72 . Required: a. Prepare the necessary journal entries on lan. 1, 2023. (4 pto) b. Prepare the journal entries to record interest expense on the note payable on December 31 , 2023 using the effective rate method. Please round to the nearest dollar (5 pts)

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