Prepare the liability section of the balance sheet based on the following balances taken from the adjusted trial balance of Sal Co. as of 12/31/18

Notes Payable, due 1/1/2020………………………………………………………….………$2,400,000

Bonds Payable, due 7/1/2019……………………………………………………….………...$3,000,000

Notes Payable, equal annual installations payable on 3/1 for each of the next 5 years……..$500,000

Accounts Payable………………………………………………………………………………...$245,000

Unearned Revenue…………………………………………………………………………..…..$120,000

Salary Payable……………………………………………………………………………………. $40,000

Asset Retirement Obligation,12/31/2026……………………………………………………$2,450,000

2. If current assets are $10,000,000 and total assets are $20,000,000, what is the (1) current ratio and (2) debt ratio

Answer rating: 100% (QA)

To prepare the liability section of the balance sheet we will list the liabilities based on the give... View the full answer