Question

mework Help Sav American Food Services, Inc, acquired a packaging machine from Barton and Barton Corporation. Barton and Barton completed of the machine on January 1, 2018. In payment for the $5.9 million machine, American Food Services issued a four-year installment note to be paid in four equal payments at the end of each year. The payments include interest at the rate of 17% (EV of$1. PV of $1. FVA of $1, PVA of S1. FVAD of S1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required 1. Prepare the journal entry for American Food Services' purchase of the machine on January 1, 2018. 2. Prepare an amortization schedule for the four-year term of the installment note. 3. Prepare the journal entry for the first installment payment on Dec 4. Prepare the journal entry for the third installment payment on December 31, 2020 er 31, 2018 Complete this question by entering your answers in the tabs below. Req 2 Req 1 3 and 4 Prepare an amortization schedule for the four-year term of the installment note. (Enter your answers in whole doliars.) 2018 2019 2021 < Prey 8of 11 Next >

Answer 1