Medical Dispensary borrowed $390,000 on January 2, 2012, by issuing a 10% serial bond payable that must be paid in three equal annual installments plus interest for the year. The first payment of principal and interest comes due January 2, 2013.
Requirement
1. Insert the appropriate amounts to show how Medical Dispensary should report its current and long-termliabilities.

Transcribed Image Text:

December 31 2012 2013 2014 Current liabilities: Bonds payable. Interest payable.. Long-term liabilities: Bonds payable.