Branch Company,a Building Materials Supplier,has $18,000,000 of Notes Payable Due

Branch Company,a building materials supplier,has $18,000,000 of notes payable due April 12,2017.At December 31,2016,Branch signed an agreement with First Bank to borrow up to $18,000,000 to refinance the notes on a long-term basis.The agreement specified that borrowings would not exceed 75% of the value of the collateral that Branch provided.At the date of issue of the December 31,2016,financial statements,the value of Branch's collateral was $20,000,000.On its December 31,2016,balance sheet,Branch should classify the notes as follows:

A) $15,000,000 long-term and $3,000,000 current liabilities.
B) $4,500,000 short-term and $13,500,000 current liabilities.
C) $18,000,000 of current liabilities.
D) $18,000,000 of long-term liabilities.