On December $31,$ Leann Corp. paid $$5,120$ on an installment note that requires annual payments. The outstanding loan balance on January $1$ was $$50,000$; the effective interest rate is $8\%.$ The financial statement effects of the $$5,120$ payment include a$($n$)$:

Multiple select question.

decrease in Notes Payable of $$4,000$

increase in Interest Expense of $$1,120$

increase in Interest Expense of $$4,000$

decrease in Notes Payable of $$1,120$