Fashion Fiesta Company Uses the Indirect Method to Prepare Its $\begin{array}{c} \text {Fashion Fiesta Company } &\\ \text { Comparative Balance Sheet } &\\ \text { December 31,2016 and 2015 } &\end{array}$

Fashion Fiesta Company uses the indirect method to prepare its statement of cash flows.Refer to the following portion of the comparative balance sheet:
$\begin{array}{c} \text {Fashion Fiesta Company } &\\ \text { Comparative Balance Sheet } &\\ \text { December 31,2016 and 2015 } &\end{array}$
$\begin{array}{llll}&2016 & 2015 & \text { Increase/(Decrease) }\\\text { Accounts Payable } & \$ 6,000 & \$ 9,000 & \$(3,000) \\\text { Accrued Liabilities } & 3,000 & 1,500 & 1,500 \\\text { Long-term Notes Payable } & \underline{126,000} & \underline{135,000} & \underline{(9,000)} \\\text { Total liabilities } & \$ 135,000 & \$ 145,500 & \$(10,500)\end{array}$
Additional information provided by the company includes the following:
During 2015,the company repaid $60,000 of long-term notes payable.
During 2015,the company borrowed $51,000 on a new long-term note payable.
Use the T-account format to evaluate the transactions affecting the long-term notes payable account.