Review the Tableau visualization, and then answer the questions that follow.

A company has decided to purchase equipment, needing to borrow $$100,000$ from Its local bank to make the purchase. The bank

glves the company two options: $($a$)60-$month Installment note with $4\%$ Interest or $($b$)120-$month Installment note with $8\%$ interest.

Lenders often charge a higher Interest rate for longer$-$term loans to compensate for addiltional risk of lending for a longer time perlod.

Required:

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

What is the monthly payment amount for each option? $($Round your answer to $2$ decimal places.$)$

$-$What is the total amount of interest paid over the life of the note for each option?

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

$-$Does the interest portion of each payment increase or decrease over time?

$-$Journal entry worksheet

Record $$100,000$ cash received from the issuance of the $120-$ month

installment note with $8\%$ interest.

Note: Enter debits before credits.

$-$Journal entry worksheet

Record the first monthly payment of the $120-$month installment note with $8\%$

interest.

Note: Enter debits before credits.

$-$Select the options to display a $120-$month installment note with $12\%$ interest. How much of the principal amount is due after

the ${60}^{th}$ payment? $($Hint: Scroll down the Monthly Payment Schedule$)$

Principal amount