On January 1, 2013, Thames Company purchases property and signs a 6-year mortgage note for $60,000 at 4%. Please see the partial amortization schedule below.
On January 1, 2013, Thames recorded the entire principal amount of $60,000 as mortgage payable. They would then record a second entry to reclassify the current portion. Please provide that entry.

Question

On January 1, 2013, Thames Company purchases property and signs a 6-year mortgage note for $60,000 at 4%. Please see the partial amortization schedule below.
   On January 1, 2013, Thames recorded the entire principal amount of $60,000 as mortgage payable. They would then record a second entry to reclassify the current portion. Please provide that entry.

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The Answer of On January 1, 2013, Thames Company purchases property and signs a 6-year mortgage note for $60,000 at 4%. Please see the partial amortization schedule below.
   On January 1, 2013, Thames recorded the entire principal amount of $60,000 as mortgage payable. They would then record a second entry to reclassify the current portion. Please provide that entry.

On January 1, 2013, Thames Company Purchases Property and Signs