Cullumber Electronics issues a $690,000, 10-year, 11% mortgage note payable on December 31, 2021, to help finance a plant expansion. The terms of the note provide for semi-annual blended payments of $57,739. Payments are due on June 30 and December 31.

Prepare an instalment payment schedule for the first two years. (Round answers to 0 decimal places, e.g. 5,276.)

Semi-annual Interest Period		Cash Payment		Interest Expense		Reduction of Principal		Principal Balance
Dec. 31, 2021		$		$		$		$
June 30, 2022
Dec. 31, 2022
June 30, 2023
Dec. 31, 2023

Record the issue of the mortgage note payable on December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Dec. 31
	(To record issuance of note.)

Show how the mortgage liability should be reported on the balance sheet at December 31, 2021. (Hint: Remember to report any current portion separately from the non-current liability.) (Round answers to 0 decimal places, e.g. 5,276. Enter account name only and do not provide descriptive information.)

CULLUMBER ELECTRONICS Balance Sheet (Partial) For the Month Ended December 31, 2021For the Year Ended December 31, 2021December 31, 2021
Current LiabilitiesNon-Current LiabilitiesCurrent AssetsShareholders' EquityProperty, Plant and Equipment
		$
Non-Current LiabilitiesProperty, Plant and EquipmentShareholders' EquityCurrent LiabilitiesCurrent Assets

Record the first two instalment payments on June 30, 2022, and December 31, 2022. (Round answers to 0 decimal places, e.g. 5,276. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
June 30
	(To record payment on note.)
Dec. 31
	(To record payment on note.)