Sep 1 Borrowed $36,000 from City Bank by issuing an 7% note. The note is to be repaid in quarterly payments of principal plus interest totaling $2,130 per quarter.

Nov 30 Paid the first quarterly installment of the note issued on October 1.

What would I debit and credit in the journal entry for Nov 30? Thank you.

Your accounts will be Notes Payable for the principle amount of the payment, Interest Expense for the interest amount of the payment and Cash for the total amount of the payment