Assad Inc. issued a five-year, 6% instalment note payable, with fixed principal payments plus interest, due annually. The following instalment payment schedule is partially completed:

Fill in the missing amounts.

What are the current and non-current portions of the note at the end of period 3?

Interest Period Cash Payment Interest Expense Reduction of Principal Principal Balance Issue date $40,000 $10,400 32,000 2 1,920 1,440 960 9,920 4 8,960 8,000 8,480 480