Short$-$Term Debt Expected to Be Refinanced Carrboro issues its December $31,2019,$ year$-$end financial statements on March $2,2020.$

Required:

$1.$ Show how the $\backslash (\backslash$$ $400,000\backslash )$ notes payable will be classified on Carrboro Textile's balance sheet on December $31,2019.$

CARRBORO TEXTILE COMPANY

Partial Balance Sheet

December $31,2019$

Current Liabilities:

Notes payable $\backslash$$

Long$-$Term Liabilities:

Notes payable

$2.$ If short$-$term debt that is expected be refinanced is classified as a long$-$term liability the company has shown

to refinance at which point it is to classify the obligation as a long$-$term liability.