Following are five pertinent facts about events during the current year at Babcock's Fly and Tackle, a Prince Edward Island fisheries supply company:
a. Sales of $911,000 were covered by Babcock's Fly and Tackle's product warranty. At January 1, the estimated warranty payable was $14,600. During the year, Babcock's recorded warranty expense of 2 percent of sales and paid warranty claims of $15,600.
b. On August 31, Babcock's Fly and Tackle signed a six-month, 6-percent note payable to purchase supplies costing $45,000. The note requires payment of principal and interest at maturity.
c. On November 30, Babcock's Fly and Tackle received rent of $36,000 in advance from a sub-tenant in its building. This rent will be earned evenly over three months.
d. December sales totalled $80,000 and Babcock's Fly and Tackle collected GST of 5 percent plus PST of 10 percent on these sales. These taxes will be sent to the appropriate authorities early in January. (Prince Edward Island bases PST on price including GST.)
e. Babcock's Fly and Tackle owes $150,000 on a long-term note payable. At December 31,
$30,000 of this principal plus 5-percent accrued interest since September 30 are payable within one year.
Required
For each item, indicate the account and the related amount to be reported as a current liability on Babcock's Fly and Tackle's December 31 (year-end) balance sheet. Round all amounts to the nearest whole dollar.