HW I 1 . On January 1 , 2007, Donald Company , a calendar - year company , issued $600, 000 of notes payable , of which 5200, 000 is due on January 1 for each of the next three years . The proper balance sheet presentation on December 31 , 2007 , is a . Long-term Debt , $600, 000 b . Current Liabilities , $200 , 000 ; Long-term Debt , $400, 000 c. Current Liabilities , $150 , 000 ; Long-term Debt , 5450, 000 d. Current Liabilities , $600, 000