Question

Exercise 9-3 Current Liabilities Section LO1 Jackie Company had the following accounts and balances on December 31, 2017: $ 1,000 67,500 Notes Payable, 10 % , due June 2, 2018 Accounts Recevable Discount on Notes Payable Income Taxes Payable Allowance for Doubeful Accounts Accounts Payable interest Receivable $61,250 17,800 24,400 5.000 150 6900 Curent Maturites of Long-Term Debt Interest Payable Uneaned Revenue 4,320 3,010 6.000 Wages Payable Required Prepare the Current Liabilities section of Jackie Company's balance sheet as of December 31, 2017.

Answer 1

Ans.	JACKIE   COMPANY
	Balance Sheet
	31-Dec-17
	Current liabilities:
	Accounts payable		$24,400
	Notes payable, 10% due June 2, 2018	$1,000
	Less: Discount on notes payable	-$150	$850
	Current maturities of long term debt		$6,900
	Interest payable		$3,010
	Wages payable		$6,000
	Unearned revenue		$4,320
	Income taxes payable		$61,250
	Total current liabilities		$106,730
	If a liabilities is due within one year, then it is considered as current liability. So notes payable will be current liability.