Homework answers / question archive / Howell Company has the following selected accounts after posting adjusting entries: Accounts Payable                                                                €  55,000 Notes Payable, 3-month                                                          80,000 Accumulated Depreciation—Equipment                                 14,000 Salary Payable                                                                        27,000 Notes Payable, 5-year, 8%                                                      30,000 Estimated Warranty Liability                                                    34,000 Salary Expense                                                                         6,000 Interest Payable                                                                         3,000 Mortgage Payable                                                                 200,000 Sales Tax Payable                                                                   21,000   Instructions (a)    Prepare the current liability section of Howell Company's statement of financial position, assuming $25,000 of the mortgage is payable next year

Howell Company has the following selected accounts after posting adjusting entries: Accounts Payable                                                                €  55,000 Notes Payable, 3-month                                                          80,000 Accumulated Depreciation—Equipment                                 14,000 Salary Payable                                                                        27,000 Notes Payable, 5-year, 8%                                                      30,000 Estimated Warranty Liability                                                    34,000 Salary Expense                                                                         6,000 Interest Payable                                                                         3,000 Mortgage Payable                                                                 200,000 Sales Tax Payable                                                                   21,000   Instructions (a)    Prepare the current liability section of Howell Company's statement of financial position, assuming $25,000 of the mortgage is payable next year

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Howell Company has the following selected accounts after posting adjusting entries:

Accounts Payable                                                                €  55,000

Notes Payable, 3-month                                                          80,000

Accumulated Depreciation—Equipment                                 14,000

Salary Payable                                                                        27,000

Notes Payable, 5-year, 8%                                                      30,000

Estimated Warranty Liability                                                    34,000

Salary Expense                                                                         6,000

Interest Payable                                                                         3,000

Mortgage Payable                                                                 200,000

Sales Tax Payable                                                                   21,000

Instructions

(a)    Prepare the current liability section of Howell Company's statement of financial position, assuming $25,000 of the mortgage is payable next year. (List liabilities in magnitude order, with largest first.)

(b)    Comment on Howell 's liquidity, assuming total current assets are €450,000.