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The following information is for Vaughn Day Real Estate: The total dollar amount

ID: 2397477 • Letter: T

Question

The following information is for Vaughn Day Real Estate:


The total dollar amount of liabilities to be classified as current liabilities is

Vaughn Day Real Estate
Balance Sheet
December 31, 2018 Cash $ 24500 Accounts Payable $ 60300 Prepaid Insurance 30300 Salaries and Wages Payable 14700 Accounts Receivable 50000 Mortgage Payable 83800 Inventory 71200       Total Liabilities 158800 Land Held for Investment 83800 Land 119700 Buildings $99400 Common Stock $119100       Less Accumulated Retained Earnings 249900 369000             Depreciation (20200) 79200 Trademark 69100       Total Liabilities and Total Assets $527800          Stockholders’ Equity $527800

Explanation / Answer

Amount of liabilities to be classified as current liabilities = 60300+14700= $75000 Option 4 is correct