Question

QUESTION 15
On January 1, 2019, Loveland Ski Company issued $1,000,000 of notes payable, of which $250,000 is due on January 1 for each of the next four years,
The proper balance sheet presentation on December 31, 2019 is
O A. Current liabilities, $500,000: Long-term liabilities, $500,000
O B. Current liabilities, $250,000; Long-term liabilities, $750,000
O C. Long-term liabilities, $1,000,000.
O D. Current liabilities, $1,000,000.​

Answer 1

Answer:

D. Current liabilities, $1,000,000.​

Explanation:

BRUH this is my 4th time changing the answer. Ok, so on January 1, 2019 Loveland issued this note about paying 250,000 per year, for the next four years on the same date that they issued the not (January 1, 2019). So January passes, then comes February, then March, April, May, June, July, August, September, October, November, now it is finally December. December 31 swings around, and it has almost been an exact year since Loveland issued this note. But it has not been a complete year, it is New Years Eve, and they have one more day till they have to pay. They have not payed anything. The difference between Current liabilities and Long-Term liabilities are that  current liabilities are liabilities that are due and payable within one year, and long-term liabilities are liabilities that are due after a year or more. So it is D. I am so sorry that this took so long, and I really hope that this helped!!