Lime Co. incurs a $4,000 note with equal principal installment payments due for the next eight years. What is the amount of the current portion of the noncurrent note payable due in the second year? A. $800 B. $1,000 C. $500 D. nothing, since this is a noncurrent note payable

Lime Co. incurs a $4,000 note with equal principal installment payments due for the next eight years. What is the amount of the current portion of the noncurrent note payable due in the second year? A. $800 B. $1,000 C. $500 D. nothing, since this is a noncurrent note payable

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 7MC: Lime Co. incurs a $4,000 note with equal principal installment payments due for the next eight...

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Question

Lime Co. incurs a $4,000 note with equal principal installment payments due for the next eight years. What is
the amount of the current portion of the noncurrent note payable due in the second year?
A. $800
B. $1,000
C. $500
D. nothing, since this is a noncurrent note payable

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