On December 31, 2017, Eppel, Inc. borrowed $900,000 on an eight percent, 15?year mortgage note payable. The note is to be repaid in equal semiannual installments of $52,047 (payable on June 30 and December 31). Prepare journal entries to reflect (a) the issuance of the mortgage note payable, (b) the payment of the first installment on June 30, 2018, and (c) the payment of the second installment on December 31, 2018. Round amounts to the nearest dollar.

Installment Term Loan On December 31, 2017, Eppel, Inc. borrowed $900,000 on an eight percent, 15-year mortgage note payable. The note is to be repaid in equal semiannual installments of $52,047 (payable on June 30 and December 31). Prepare journal entries to reflect (a) the issuance of the mortgage note payable, (b) the payment of the first installment on June 30, 2018, and (c) the payment of the second installment on December 31, 2018. Round amounts to the nearest dollar. General Journal Date Description Debit Credit a.) Dec.31 Cash Ox $ O V Mortgage Note Payable OV O X Borrowed a mortgage note payable. b.) Jun.30 Interest Expense 0 x O V Mortgage Note Payable 0 x OV Cash O V 0 X To record semiannual payment C.) Dec.31 Interest Expense O X O V Mortgage Note Payable O X OV Cash O X To record semiannual payment. Check