Balance Sheet - CPA Financial Accounting and Reporting (FAR)

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Question

Company A reports the following account balances: Cash of $12,000; accounts receivable of $20,000; inventory of $15,000; property, plant, and equipment of $40,000; accumulated depreciation of $24,000; accounts payable of $5,000; accrued expenses of $6,000; short term notes payable of $7,000; long term notes of $10,000, and capital stock of $20,000. What were Company A's total liabilities?

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Answer

Liabilities listed include accrued expenses of $6K, accounts payable of $5K, short term notes payable of $7K, and long term notes of $10K, for a total of $28K in liabilities.

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