P11-7B Following are pertinent facts about events during the current year at Nevis Marine Company:

a. December sales totaled $404.000 and Nevis collected sales tax of 9%. The sales tax will be sent to the state of Washington early in January.

b. Nevis owes $75,000 on a long-term note payable. At December 31, 6% interest for the year plus $25,000 of this principal are payable within one year.

c. On August 31, Nevis signed a six-month, 6% note payable to purchase a machine costing $80,000. The note requires payment of principal and interest at maturity.

d. Sales of $909,000 were covered by Nevis product warranty. At January 1, estimated warranty payable was $11,300. During the year. Nevis recorded warranty expense of $27,900 and paid warranty claims of $30.100.

e. On October 31, Nevis received rent of $2.400 in advance for a lease on a building. This rent will be earned evenly over four months. Required For each item, indicate the account and the related amount to be reported as a current liability on Nevis's December 31 balance sheet.