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ncluded in Witt Company’s liability account balances on December 31 2017 were the following: 6% note payable issued October 1, 2016..................................................500,000 8% note payable issued April 1, 2016, maturing April 1, 2018....................800,000 o The December 31, 2017 financial statements were

ncluded in Witt Company’s liability account balances on December 31 2017 were the following: 6% note payable issued October 1, 2016..................................................500,000 8% note payable issued April 1, 2016, maturing April 1, 2018....................800,000 o The December 31, 2017 financial statements were

Intermediate Accounting: Reporting And Analysis
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
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
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Included in Witt Company’s liability account balances on December 31 2017 were the following: 6% note payable issued October 1, 2016..................................................500,000 8% note payable issued April 1, 2016, maturing April 1, 2018....................800,000 o The December 31, 2017 financial statements were issued on March 31, 2018.On January 15, 2018, the entire ₱800,000 balance of 8% note was refinanced by issuance of a long-term obligation payable in a lump sum. o In addition, on March 10, 2018, Witt Company consummated a non cancelable agreement with the lender to refinance the 6%, ₱500,000 note on a long-term basis, on readily determinable terms that have not yet been implemented. o Both parties are financially capable of honoring the agreement, and there have been no violations of the agreement’s provisions. In December 31, 2017 statement of financial position, what amount of the notes payable should be classified as current?
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