A company’s normal operating cycle is one year, and they have the following account balances taken from the trial balance:

• Accounts payable: $50,000
• Accounts receivable: $25,000
• Notes payable (due in 30 months): $15,000
• Customer advances: $10,000
• Bonds payable (due in 60 months): $30,000
• Sales tax payable: $5,000

Which amount should be included as current liabilities on the balance sheet?

• $40,000
• $55,000
• $65,000
• $80,000

A company issues $10,000 ,000 in 10-year bonds at a 6% interest rate, paid annually. On the date of issue, the bonds sold for $10,500,000. At which value were bonds issued?

• Premium
• Face Value
• Discount
• Par

Answer rating: 100% (QA)

Solution 1 Answer is option C 65000 Current liabilities are liabilities th... View the full answer