The Following Transactions Occurred During March, the First Month of Operations

Multiple Choice

The following transactions occurred during March, the first month of operations for Quality Galleries Limited:
* Share Capital was issued in exchange for $360,000 cash.
* Purchased $180,000 of equipment by making a $60,000 cash down payment and signing a note payable for the balance.
* Made a $35,000 cash payment on the note payable from the purchase of equipment.
* Sold a piece of equipment for cash of $18,000. The equipment was sold at cost, so there is no gain or loss on the sale.

-Refer to the above data. What is the balance in the Note Payable account at the end of March?

A) $120,000.
B) $85,000.
C) $35.000.
D) $155,000