Riley Company borrowed $$36,000$ on April $1,$ Year $1$ from the Titan Bank. The note issued by Riley carried a one year term and a $7\%$ annual interest rate. Riley earned cash revenue of $$1,700$ in Year $1$ and $$1,400$ in Year $2.$ Assume no other transactions. The amount of total liabilities that would appear on Riley's December $31$ balance sheets for Year $1$ and Year $2,$ respectively, would Fo:

A$.$ $$36,000$ and $$0.$

B$.$ $$37,890$ and $$0.$

C$.$ $$37,890$ and $$38,520.$

D$.$ $$1,890$ and $$630.$