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4. In September of 2016, Hansen Company issued a note payable to borrow money from its bank. Principal and interest on the note would come due in June 2017. Interest expense on this note must be accrued at the end of 2016 for the period from issuance of the note to the last day of the accounting period. (True/False)

5. If a company chooses to call some of its callable bonds before their maturity, generally it will have to pay an amount that is greater than the carrying value of the bonds. (True/False)

Abardeen Corporation borrowed $82,000 from the bank on October 1, 2016. The note had an 8 percent annual rate of interest and matured on March 31, 2017. Interest and principal were paid in cash on the maturity date. Required a. What amount of cash did Abardeen pay for interest in 2016? Amount of cash paid b. What amount of interest expense was recognized on the 2016 income statement (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) Interest expense c. What amount of total liabilities was reported on the December 31, 2016, balance sheet? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) Total liabilities