12-3 Assets Intangible maturing curmently, which is to be paid with cash in a sinking maturing currenty, which is to be retired with proceeds from a maturing currently, which is to be converted into common stock a A long-term debt fund b A long term debt new debt issue c. A long-term debt d. None of these answers are correct Company as of December 31, the balance $250.000 with the Dennison National Bank. These 15. Among the short-term obligations of Larsen sheet date, are notes payable totaling are 90-day notes on the balance sh renor another 90-day period. These notes should be classified Larsen Company as b. Deferred charges c Long-term liabilities d. Intermediate debt 16. Why is the liability section of the balance sheet of primary importance to a. To evaluate the entity's credit quality b. To assist in understanding the entity's liquidity c To better understand sources of repayment d. To evaluate operating efficiency 17. Greeson Corp. signed a three-month, zero-interest-bearing note on November 1, 2017 or the purchase of $500,000 of inventory. The face value of the note was $507,800. Greeson used a "Discount of Note Payable account to initially record the note. Assuming that the discount will be amortized equally over the 3-month period and that there was no adjusting entry made for November, the adjusting entry made at December 31, 2017 will include a a. Debit to Discount on Note Payable for $2,600. b. Debit to Interest Expense for $5,200 c. Credit to Discount on Note Payable for $2,600. d. Credit to Interest Expense for $5,200. 18 Slack Inc. borrowed $400,000 on April 1, The note requires interest at 12% and principal a. To be paid in one year. How much interest is recognized for the period from April b. $0 $48,000. d. $32,000 e. $36,000. 1 to December 31? 19. Bargain Surplus made cash sales during the month of October of $375,000 are subject to a 6% sales tax that was also collected which of the following would be included in the summary journal entry to reflect the sale transactions? sales a. Debit Accounts Receivable for $375,000 b. Credit Sales Taxes Payable for $21,226 c. Credit Sales Revenue for $347,483. d. Credit Sales Taxes Payable for $22,500 What does the current ratio inform you about a company? The extent of slow-moving inventories. a