Mackey Company has a 5-year mortgage for $100,000. In the first year of the mortgage, Mackey will report this liability as a:

Select one:

A.

current liability of $100,000.

B.

current liability of $80,000 and a long-term liability of $20,000.

C.

current liability of $80,000 and a long-term debt of $20,000.

D.

long-term liability of $100,000.

E.

current liability of $20,000 and a long-term liability of $80,000.