Paid the annual payment on the note, inciuding $1,661 of interest. The remainder of the payment reduced the principal balance on the note. If an amount box does not require an entry, leave it blank. Year 4, Dec 31 Paid the annual payment on the note, inciuding $1,661 of interest. The remainder of the payment reduced the principal balance on the note. If an amount box does not require an entry, leave it blank. Year 4, Dec 31