Intermediate Accounting $105$

May I please have the solution to this exercise?

Thank you

On December $31,2025,$ Sandhill Company had $$1,103,000$ of short$-$term debt in the form of notes payable due February $2,2026.$ On

January $21,2026,$ the company issued $24,800$ shares of its common stock for $$33$ per share, receiving $$818,400$ proceeds after

brokerage fees and other costs of issuance. On February $2,2026,$ the proceeds from the stock sale, supplemented by an additional

$$284,600$ cash, are used to liquidate the $$1,103,000$ debt. The December $31,2025,$ balance sheet is issued on February $23,2026.$

Show how the $$1,103,000$ of short$-$term debt should be presented on the December $31,2025,$ balance sheet. $($Enter account name only

and do not provide descriptive information.$)$

SANDHILL COMPANY

Partial Balance Sheet