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Question - On January 1, 2021, Oriole Corp. borrows $16,800 by signing a 3-year, 6% note payable. The note is repayable in three annual fixed principal payments on December 31 of each year.
Calculate the annual principal payment.
Prepare an instalment payment schedule for the note.
Prepare journal entries to record the note and the first instalment payment.
What amounts would be reported as current and non-current in the liabilities section of Oriole's balance sheet at December 31, 2021?
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