Question

Deluxe suites hotels incluedes the following selected accounts in its genarel ledger at December 31.2016:

Notes Payable $200,000 Accounts Payable $33,000
Bonds Payable 450,000 Discounts on Bonds Payable 13,500
Interest Payable
(due next year) 1,000 Salaries Payable 2,600
Estimated Warranty
Payable 1,300 Sales Tax Payable 400
Required:
Prepare the liabilities section of Luxury Suites' balance sheet at December 31.2016.

Answer 1

Liabilities section of Luxury Suites' balance sheet at December 31.2016.

Liabilities

Non - Current Liabilities

Notes Payable $200,000

Total Non-Current Liabilities $200,000

Current Liabilities

Accounts Payable $33,000

Discounts on Bonds Payable $13,500

Interest Payable (due next year) $1,000

Salaries Payable $2,600

Estimated Warranty Payable $1,300

Sales Tax Payable $400

Total Current Liabilities $51,800

Step-by-step explanation:

Liabilities are presented in the financial statements as either Current liabilities (due within a period of 12 months and Non-Current Liabilities (that are not due within a period of 12 months) as shown above.