XYZ Corp.'s accounts payable at December 31, 2017, totaled $900,000 before any necessary year-end adjustments relating to the following transactions:

• On December 27, 2017, XYZ wrote and recorded checks to creditors totaling $350,000 causing an overdraft of $100,000 in XYZ's bank account at December 31, 2017. The checks were mailed out on January 10, 2018.
• On December 28, 2017, XYZ purchased and received goods for $150,000, terms 2/10, n/30. XYZ records purchases and accounts payable at net amounts. The invoice was recorded and paid January 3, 2018.
• Goods shipped f.o.b. destination on December 20, 2017 from a vendor to XYZ were received January 2, 2018. The invoice cost was $65,000.

            At December 31, 2017, what amount should XYZ report as total accounts payable?

• $1,462,000.
• $1,397,000.
• $1,150,000.
• $1,050,000.

Answer rating: 100% (QA)

Accounts payable to reported by XYZ on 3112... View the full answer