36. On October 1, 2011, Master's co borrows $500.000 from bank for five years at an annual interest of 10%. According to the terms of the loan, the prepal amount will not be due for ve years. Interest paid monthly onerat day of each month, beginning November 1, 2011 With respect to this borrowing, Master's December 31, 2011, balance included only a long terme payable 100.000. As a result A The December 31, 2011, financial statements are accurate B. Labies are understated by $12.500 accrued interest payable Liabities are understated by $4.107 accrued Inforest payable D. Liabilities are understated by the amount of interest for the five-year term of the note that has not yet been paid