Assume that on December 1, 2015, your company borrowed $ 15,000, a portion of which is to be repaid each year on November 30. Specifically, your company will make the following principal payments: 2016, $ 2,000; 2017, $ 3,000; 2018, $ 4,000; and 2019, $ 6,000.
Show how this loan will be reported in the December 31, 2016 and 2015 balance sheets, assuming that principal payments will be made when required.