Question
Company has a December 31 fiscal year-end date. Company borrowed $150,000 from GE Capital to purchase Equipment on February 1, 2016. No payments were made
Company has a December 31 fiscal year-end date.
"Company borrowed $150,000 from GE Capital to purchase Equipment on February 1, 2016. No payments were made during 2016. The Company will make an equal repayment of $50,000 for the principal amount of the borrowing on every February 1. The first principal repayment will occur on February 1, 2017. At the time of each principal repayment, the interest will also be paid at the same time. The loan carries an interest rate of 15%."
What are the following amounts that should be reported on the balance sheet of Dec 31 2017
Q1. Non-current liability?
Q2. Interest Payable?
Q3. Interest Expense? (Income Statement)
THANK YOU FOR THE HELP
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