The Liabilities Section of O’Brian’s Balance Sheet Please original. Don\'t copy

ID: 2570401 • Letter: T

Question

The Liabilities Section of O’Brian’s Balance Sheet

Please original. Don't copy and paste. The purpose of this assignment is to help you understand the balance sheet presentation for the liabilities of a company.

Assignment Steps

Resources: Financial Accounting: Tools for Business Decision Making

Prepare the liabilities section of O'Brian's balance sheet using the following information:

Accounts payable $157,000

Notes payable (due May 1, 2018) $20,000

Bonds payable (due 2021) $900,000

Unearned rent revenue $240,000

Discount on bonds payable $41,000

FICA taxes payable $7,800

Interest payable $40,000

Notes payable (due 2019) $80,000

Income taxes payable $3,500

Sales taxes payable $1,700

Explanation / Answer

Current Liabilities

Amount ($)

Accounts Payable

157000

Sales Taxes Payable

1700

FICA Taxes Payable

7800

Income Taxes Payable

3500

Unearned Revenue

240000

Total Current Liabilities

410000

Long term Liabilities

Notes Payable (due May 1, 2018)

20000

Bonds Payable

900000

Discount on bonds payable

-41000

Notes Payable (due 2019)

80000

Interest Payable

40000

Total Long term Liabilities

999000

Total Liabilities

1409000