Included in Vulnerable Corporation's liability account balances at December 31, 2020, were the following: 8% note payable issued October 1, 2020, maturing September 30, 2021 P500,000 10% note payable issued April 1, 2020, payable in six equal annual installments of P150,000 beginning April 1, 2021 900,000 12% Bonds payable issued on March 1, 2017, maturing on March 1, 2021 1,500,000 The bonds payable pay interest semi-annually on March 1 and September 1. Based on the above information, what amount of current liabilities should be included as of December 31, 2020? a. P2,287,500 c. P2,900,000 b. P3,037,500 d. P2,012,500
Included in Vulnerable Corporation's liability account balances at December 31, 2020, were the following: 8% note payable issued October 1, 2020, maturing September 30, 2021 P500,000 10% note payable issued April 1, 2020, payable in six equal annual installments of P150,000 beginning April 1, 2021 900,000 12% Bonds payable issued on March 1, 2017, maturing on March 1, 2021 1,500,000 The bonds payable pay interest semi-annually on March 1 and September 1. Based on the above information, what amount of current liabilities should be included as of December 31, 2020? a. P2,287,500 c. P2,900,000 b. P3,037,500 d. P2,012,500
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter9: Current Liabilities And Contingent Obligations
Section: Chapter Questions
Problem 5E: Disclosure of Debt On May 1, 2019, Ramden Company issues 13% bonds with a face value of 2 million....
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Included in Vulnerable Corporation's liability account balances at December 31, 2020, were the following:
8% note payable issued October 1, 2020, maturing September 30, 2021 P500,000
10% note payable issued April 1, 2020, payable in six equal annual
installments of P150,000 beginning April 1, 2021 900,000
12% Bonds payable issued on March 1, 2017, maturing on March 1, 2021 1,500,000
The bonds payable pay interest semi-annually on March 1 and September 1.
Based on the above information, what amount of current liabilities should be included as of December 31, 2020?
a. P2,287,500 c. P2,900,000
b. P3,037,500 d. P2,012,500
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