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Question - Accounting for long-term note payable transactions Consider the following note payable transactions of Tube Video Productions: 2017 March 1 Purchased equipment costing $80,000 by issuing an eight-year, 12% unsecured note payable. The note requires annual principal payments of $10,000 plus interest each 1 March. March 1 Recorded current portion of the note in the journal. December 31 Accrued interest on the note payable. 2018 March 1 Paid the first instalment on the note. December 31 Accrued interest on the note payable.
Required -
1. Journalise the transactions for the business.
2. Considering the given transactions only, what are Tube Video Productions' total liabilities on 31 December 2018?
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