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-   -   Balance sheet accounts (https://www.askmehelpdesk.com/showthread.php?t=748728)

  • May 13, 2013, 10:28 AM
    catlady23
    Balance sheet accounts
    Below is a list of various balance sheet accounts and their balances.

    Debit Credit

    Notes payable-short term $800
    Salary payable 3,600
    Notes payable-long term 20,000
    Accounts payable 2,200
    Unearned revenue 1,000
    Interest payable 2,200

    What are the total current liabilities that would be shown on the balance sheet?

    (If you could show me how you arrived at your answer, that would be much appreciated)
  • May 13, 2013, 11:37 AM
    Cat1864
    Quote:

    catlady23 (44 Posts) Asked Today, 01:28 PM —

    Below is a list of various balance sheet accounts and their balances.

    Debit Credit

    Notes payable-short term $800
    Salary payable 3,600
    Notes payable-long term 20,000
    Accounts payable 2,200
    Unearned revenue 1,000
    Interest payable 2,200

    What are the total current liabilities that would be shown on the balance sheet?

    (If you could show me how you arrived at your answer, that would be much appreciated)
    We need for you to show us your work so that we know where you need help.

    Thank you.
  • May 13, 2013, 11:43 AM
    catlady23
    Quote:

    Originally Posted by Cat1864 View Post
    We need for you to show us your work so that we know where you need help.

    Thank you.

    All right -- well, "Current liabilities" is composed of; Notes payable, Accounts payable, Unearned Revenue, Salaries payable, Interest payable, and Taxes payable. So I had originally thought that I should calculate all but "notes payable-long term" for the current liabilities.

    Just wanted to make sure I was in the right direction.
  • May 19, 2013, 10:14 AM
    pready
    Notes Payable - Short Term is a current liability because these are to be paid in one year or one accounting cycle.

    Notes Payable - Long Term is not a current liability because these are to be paid after one year or one accounting cycle.

    The other accounts are all current liabilities.

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