What amount will appear on the balance sheet

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Question - A building is purchased for $650,000 with a $200,000 down-payment and a $450,000 mortgage. The mortgage is payable at $2,500 per month plus interest.

What amount will appear on the balance sheet as a long-term liability in the first month?

What amount will appear on the balance sheet as a current liability in the first month?

Assume that one month has elapsed and the company in Problem 1 has in timely manner paid its mortgage payment consisting of $2,500 on the principal and $4,500 toward interest; total payment was $7,000.

What amount will appear on the balance sheet as a long-term liability?

What amount will appear on the balance sheet as a current liability?

Reference no: EM133131964

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