On March 1, 2016, Hughes Services borrows $21,000 and signs a 10% long-term note payable. It is payable over
a 3-year term in $6,000 principal installments on March 1 of each year, beginning March 1, 2017. Which of the
following entries needs to be made on March 1, 2016?
A. Current Portion of Long-Term Notes Payable
18,000
Long-Term Notes Payable
18,000
B. Long-Term Notes Payable
18,000
Accounts Payable
18,000
C. Cash
18,000
Long-Term Notes Payable
18,000
D. Long-Term Notes Payable
6,000
Cash
6,000