At December 31, Medpoint Preason Instruments owes $60,000 on Accounts payable, S

ID: 2532250 • Letter: A

Question

At December 31, Medpoint Preason Instruments owes $60,000 on Accounts payable, Salaries Payable or S1 1,000, and Income Tax Payable of 000 Medpoint also has $200,000 of Bonds Payable that were issued at face value that require payrment of a 40,000 installment next year and the remainder in later years. The bonds payable require an annusl interest payment of 6,000, and MediPoint still owes this interest for the current year.Report MediPoint's labilities on its classified balance sheet on December 31, 2018. MedPoint Precision Instruments Balance Sheet (Partial) December 31, 2018 Liabilities

Explanation / Answer

Balance Sheet

Liabilities

current liabilities

Accounts payable

60000

salaries payable

11000

income tax payable

8000

interest payable

6000

Bonds payable (Short term)

40000

total of current liabilities

125000

Bonds payable

(200000-40000)

160000

total of liabilities

285000