Question: Assume bonds payable are amortized using the straight-line amortization method unless stated otherwise. E14-18 Accounting for long-term notes payable transactions Consider the following note payable

Assume bonds payable are amortized using the straight-line amortization method unless stated otherwise. E14-18 Accounting for long-term notes payable transactions Consider the following note payable transactions of Caleb Video Productions. 2018 Oct. 1 Purchased equipment costing $80,000 by issuing a five-year, 8% note payable. The note requires annual principal payments of $16,000 plus interest each October 1. Dec. 31 Accrued interest on the note payable. 2019 Oct. 1 Paid the first installment on the note. Dec. 31 Accrued interest on the note payable. Requirements 1. Journalize the transactions for the company. 2. Considering the given transactions only, what are Caleb Video Productions total liabilities on December 31, 2019?

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