bear corp. has $100,000 cash in the bank restricted to repay a note payable that matures in 2 years. how should this $100,000 be

Question

aleksandrvk [35]

2 years ago

6

bear corp. has $100,000 cash in the bank restricted to repay a note payable that matures in 2 years. how should this $100,000 be

reported?

Mathematics

1 answer:

Firdavs [7] · Answer 1 · 2023-04-14T15:46:21+03:00

It should be reported as a restricted cash in the long-term section of the company balance sheet.

<h3>What is note payable?</h3>

Note payable can be defined a the money a company or an organization owes or the money they are expected to payback..

Note payable is classified as long term liabilities. Hence, the cash amount of $100,000 should be reported or recorded in the balance sheet as a restricted cash.

Therefore the $100,000 is reported as a restricted cash.

Learn more about note payable here:brainly.com/question/25148915

#SPJ11