value: 12.00 points Barton Chocolates used a promissory note to borrow $1.400,00

Question

value: 12.00 points Barton Chocolates used a promissory note to borrow $1.400,000 on July 1, 2015, at an annual interest rate of 7 percent. The note is to be repaid in yearly installments of $280,000, plus accrued interest, on June 30 of every year until the note is paid in full (on June 30, 2020). Show how the results of this transaction would be reported in a classified balance sheet prepared as of December 31, 2015. (Do not round intermediate calculations.) BARTON CHOCOLATES Balance Sheet (partial) As of December 31, 2015

Explanation / Answer

Balance sheet presentation :

Current Liabilities Interest payable (1400000*7%*6/12) 49000 Current portion of long term notes payable 280000 Long term liabilities Long term note payable (1400000-280000) 1120000 Total liabilities 1449000

Related Questions

Navigate

• Browse (All)
• Browse V
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.