Abardeen Corporation borrowed $$124,000$ from the bank on October $1,$ Year $1.$ The note had an $4$ percent annual rate

of interest and matured on March $31,$ Year $2.$ Interest and principal were paid in cash on the maturity date.

Required:

a$.$ What amount of cash did Abardeen pay for interest in Year $1?$

b$.$ What amount of interest expense was recognized on the Year $1$ income statement?

Note: Do not round intermediate calculations. Round your answer to the nearest dollar amount.

c$.$ What amount of total liabilities was reported on the December $31,$ Year $1,$ balance sheet?

Note: Do not round intermediate calculations. Round your answer to the nearest dollar amount.

d$.$ What total amount of cash was paid to the bank on March $31,$ Year $2,$ for principal and interest?

e$.$ What amount of interest expense was reported on the Year $2$ income statement?

Note: Do not round intermediate calculations. Round your answer to the nearest dollar amount.

References