SHOW YOUR SOLUTION IN GOOD ACCOUNTING FORM!! A note payable to the Bank of thePhilippine Islands for P2,400,000 isoutstanding on December 31, 2017.The note is dated October 1, 2016,bears interest at 18%, and is payablein three equal annual installment ofP800,000. The first interest andprincipal payment was made onOctober 1, 2017. What amount shouldbe reported as current liability in theDecember 31, 2017 balance sheet?

Accrued interest on note payable = ( P2,400,000 - P800,000 ) x 18% x 3/12…

Answered: A note payable to the Bank of the…

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter14: Long-term Liabilities: Bonds And Notes

Section: Chapter Questions

Problem 11E

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