On January 1, 2018, Brown Co. borrowed cash from First Bank byissuing a $100,000 face value, four-year term note that had an 8percent annual interest rate. The note is to be repaid by makingannual cash payments of $30,192 that include both interest andprincipal on December 31 of each year. Brown used the proceeds fromthe loan to purchase land that generated rental revenues of $52,000cash per year.
Organize the information in accounts under an accountingequation. (Round your answers to the nearest whole dollaramount. Enter any decreases to account balances with a minus sign.Select "NA" if there is no effect on the "Accounts Titles /Retained Earnings".)
