Accounting for mortgages (Learning Objective 5) 10–15 min.

Ling Company issued a $280,000, 4% mortgage on January 1, 2014, to purchase a building. Payments of $8,055 are made semiannually. Complete the following amortization schedule (partial) for Ling Company. Round to the nearest dollar.

Jan 1, 2014 Jun 30, 2014 Dec 31, 2014 Jun 30, 2015 Dec 31, 2015 Date Interest

$8,055 Payment Principal

$280,000 Loan Balance AppendixLO1