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Products signed a contract with Corner Manufacturing to$$ design, develop, and produce a specialized plastic molding machine for its factory operations. The machine is not currently sold to the public. issued a $3\%,8-$year, $ $730$ comma $000$ note payable to Corner to pay for the machine. If Harper were required to borrow at a commercial bank to finance the$$ acquisition, it would have incurred the current market rate of $6\%.$ Assume that all transactions occurred at the beginning of the current fiscal year$($January $1).$ Interest is paid at the end of each year. Prepare the journal entry required to record the asset acquisition.

b$.$

Prepare the amortization table for the note payable through year $3.$

c$.$

Record the interest expense for the first $2$ years.

d$.$

Indicate the effects of these transactions$($i$.$e$.,$ the asset acquisition and the interest payment and amortization of$$ discount$)$ on the current$$ year$-$end balance sheet$($ignore cash$$ effects$),$ income$$ statement, and cash flow statement under the direct and indirect methods.

e$.$

Independent of parts$($a$)-($d$),$ assume that the molding machine is sold to the general public on a regular basis and has a fair value of $ $590$ comma $000.$ Prepare the journal entry to record the acquisition of the machine from Corner.

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