Jernigan Co. receives $180,000when it issues a $180,000,12%, mortgage note payable to finance the construction of a building at December 31, 2017. The terms provide for annual installment payments of $30,000on December 31.

Prepare the journal entries to record the mortgage loan and the first two payments.(Round answers to 0 decimal places, e.g. 15,250. Credit account titles are automatically indented when amount is entered. Do not indent manually.)