Question: Exercise 2 - Accounting for long-term note payable transactions Consider the following note payable transactions of Tube Video Productions: 2017 March 1 Purchased equipment costing

Exercise 2 - Accounting for long-term note payable transactions Consider the following note payable transactions of Tube Video Productions: 2017 March 1 Purchased equipment costing $80,000 by issuing an eight-year, 12% unsecured note payable. The note requires annual principal payments of $10,000 plus interest each 1 March. March 1 Recorded current portion of the note in the journal. December 31 Accrued interest on the note payable. 2018 March 1 Paid the first instalment on the note. December 31 Accrued interest on the note payable. Required 1. Journalise the transactions for the business. 2. Considering the given transactions only, what are Tube Video Productions' total liabilities on 31 December 2018?

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