1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Aleonysh [2.5K]
3 years ago
6

On December 1, 2018, your company borrowed $15,000, a portion of which is to be repaid each year on November 30. Specifically, y

our company will make the following principal payments: 2019, $2,000; 2020, $3,000; 2021, $4,000; and 2022, $6,000. Show how this loan will be reported in the December 31, 2019 and 2018, balance sheets, assuming principal payments will be made when required.
Business
1 answer:
tino4ka555 [31]3 years ago
8 0

Answer:

Explanation:

The loan will be reported in the December 31, 2019 and 2018, balance sheets, is shown below:-

                              Balance sheet(Partial)

                                                 As of December 31

                                                      2016        2015

Current liabilities

Current portion of long term debt $3,000   $2,000

Long term liabilities

Long term debt                              $10,000   $13,000

Total liabilities                                $13,000     $15,000

On December 2018 we represent the current liability of $2,000 loan because of year 31 December 2019 within of one year and the left portion of the loan represent as long term liability because it is not within one year from the balance sheet.

On December 2019 Loan remains outstanding $13,000 ($2,000 repaid on November 2019) from this amount, on November 30, $3,000 is due. So, $3,000 should be represented as current liability and the left balance $10,000 represented as long term debt.

You might be interested in
Do you know why sustainable business is important?
guajiro [1.7K]

Answer:

In short, sustainability in business refers to the effect that companies have on the environment or society. A sustainable business strategy aims to positively impact one or both of those areas, thereby helping address some of the world's most pressing problems, such as climate change and income inequality.

Explanation:

yeah

8 0
3 years ago
One of the disadvantages of issuing stock is that
n200080 [17]

One of the disadvantages of issuing stock is the fact that it dilutes the earnings for shareholders.

The more shares there are, the less earnings.  

8 0
3 years ago
Read 2 more answers
Categorize the statements according to whether they promote economic growth or inhibit economic growth. Promote economic growth
Marina86 [1]

Answer:

Categorization of Statements

Promotion of Economic Growth:

- clear laws regarding the transfer of property from one person to another

- the enforcement of trademarks

- A nation's central bank declares it will print money to pay for government expenditure.

- the use of competitive markets to allocate goods and services

Inhibition of Economic Growth:

- the creation of a price floor on sugar

- the development of regulations that make creating small businesses difficult

- a corrupt government

Explanation:

Economic growth can be increased by the reduction of the borrowing costs and interest rates and encouraging consumer spending and business investments.

The factors that inhibit economic growth also create market inefficiencies. They include lack of basic infrastructure, healthcare, and education, capital flight and economic uncertainties, ageing population, political instability, and rampant corruption.

6 0
2 years ago
Why does an inverted yield curve serve as a predictor of a recession?.
choli [55]
An inverted curve reflects the bond market's expectation for the Fed to cut rates down the line. The Fed normally cuts rates in response to an economic downturn, hence why an inverted curve could be a recession signal.
3 0
2 years ago
Read 2 more answers
Consumer behavior, competition, visibility, and speed are the four changes resulting from advances in technology that are drivin
KonstantinChe [14]
The answer is:  [A]:  "TRUE" .
___________________________________________________
4 0
3 years ago
Other questions:
  • You would like to bake a special birthday cake for a friend who has celiac disease. the original cake recipe is made with eggs,
    10·2 answers
  • GoodTimes, Inc. has asset turnover of 0.5 times, a net profit margin of 10% and average total assets of $100, what is its net in
    8·1 answer
  • What are expenses that change as conditions change?
    13·2 answers
  • Imagine that Jack and Jill buy $500 worth of milk and $200 worth of crayons and coloring books each year for use in their day-ca
    6·1 answer
  • How would an increase in demand affect the equilibrium price in a​ market? A. The equilibrium price decreases. B. The equilibriu
    6·1 answer
  • Casey earns $150 a week and consumes only fish and shrimp. The price of fish is $3 a pound and the price of shrimp is $5 a pound
    15·1 answer
  • Discussion Topic
    9·1 answer
  • During the financial crisis of 2007-2008, the Fed engaged in lending to certain large non-bank financial firms in the private se
    11·2 answers
  • Scampini Technologies is expected to generate $125 million in free cash flow next year, and FCF is expected to grow at a constan
    14·1 answer
  • What is the primary role of consumers in a free market economy?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!