Question D

Using this step what is N = , I%= , PV= , PMT=, FV= , and as well as journal entry.

Your company has acquired several pieces of equipment. Prepare the journal entry for the following transactions. A. You bought NEW equipment (equipment A) which had a market value of $32,000 and exchanged OLD equipment (equipment B) which cost $50,000, had a book value of $30,000, and a market value of $28,000 plus you paid $3,000 in cash. This transaction LACKS commercial substance. B. You bought NEW equipment (equipment C) which had a market value of $11,000 and exchanged OLD equipment (equipment D) which cost $20,000, had a book value of $12,000, and a market value of $13,000 plus you RECEIVED $2,000 in cash. This transaction HAS commercial substance. C. You bought equipment (equipment E) and paid for it with 3,000 shares of your $10 par common stock which has a book value of $19 per share and a market value of $26 per share. D. You bought equipment (equipment F) and signed a 6% note in which you agreed to make 48 monthly payments of $1,521 at the end of each month. Record (1) the purchase and (2) the payment at the END of the first month