The adjusted trial balance for Karr Farm Corporation at the end of the current year contained the following accounts.
|Bonds Payable, due 2022||177,000|
|Premium on Bonds Payable||34,000|
Prepare the long-term liabilities section of the balance sheet.
Long-term liabilities are amounts owed with due dates that extend beyond one year. Common long-term liabilities include bonds and notes payable. These liabilities are separated from current liabilities since these amounts will not be paid within the following year and, as a result, will not demand the use of current assets.
Answer and Explanation:
|Bonds Payable, due 2022||$177,000|
|Premium on Bonds Payable||34,000||$211,000|
|Total Long-Term Liabilities||$298,000|
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from Financial Accounting: Help and ReviewChapter 8 / Lesson 7