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Barton Chocolates used a promissory note to borrow $950,000 on July 1, 2009, at an annual interest rate of 7 percent. The note is to be repaid in yearly installments of $190,000, plus accrued interest, on June 30 of every year until the note is paid in full (on June 30, 2014).
Required:Show how the results of this transaction would be reported in a classified balance sheet prepared as of December 31, 2009. (Omit the "tiny_mce_markerquot; sign in your response.)
Balance sheetDecember 31, 2009Current Liabilities: interest payable $current portion of long term debt
long term debt
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