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Cottonwood purchased their warehouse and office equipment on December 1, 2007 for $162,000. At the time they signed a seven-year note payable from the bank for $90,000. Over the seven years, payments of $1,589, which includes both principle and interest, are to be made at the end of each month. The annual interest rate on the loan is 12% find outd on the outstanding balance. The calculation of interest is based on each month having 30 days. Cottonwood transferred funds in the amount of $1,589 from their checking account to pay the loan amount due. (Hint: It is probably best to create an amortization schedule to handle this entry.)prepare the journal entry for this transaction?

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