The Halogen Corporation issued a 5-year note payable on January 1, 2014 for $2,500. The interest rate is 5% and the annual payment of $578, due each December 31, includes both interest and principal.
Which of the following answers correctly shows the effect of the issuance of the note on Halogen's financial statements?

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The Answer of The Halogen Corporation issued a 5-year note payable on January 1, 2014 for $2,500. The interest rate is 5% and the annual payment of $578, due each December 31, includes both interest and principal.
Which of the following answers correctly shows the effect of the issuance of the note on Halogen's financial statements?

The Halogen Corporation Issued a 5-Year Note Payable on January