connect ACCOUNTING Chapter 13 Homework Question 3 (of 11) 9.09 points Problem 13-3 Current-noncurrent classification of debt [L013-1, 13-4] The balance sheet at December 31,2016, for Nevada Harvester Corporation includes the liabilities listed below 8% bonds with a face amount of S43 milion were issued for S43 milion on October 31, 2007, The bonds mature on October 31, 2027. Bondholders have the option of caling (demanding payment on) the bonds on October 31, 2017, at a redemption price of $43 million Market conditions are such that the cail is not expected to be exercised a b. Management intended to Lenora sa 9 millon of its 12% notes that mature in May 2017, in eary ncial sratemenss, Nevada Harvester negotiated a line March, prior to the actual issuance of the 2016 foa of credt with a commercial bank for up to $4.5 milion any lime during 2017 Amy borrowings will mature tvo years from the date of borrowing C No cal ble 9% boodsw a face amount of 519 milion were sued fo S190 iion on September 30, 1994 The bonos mature on September 30 2017 Sufficient cash is expected to be available to retire the bonds at matunty after any tiscat year-end in which Nevada Harvesters rato of curtent seets to current liabiates tais below a contr actual minimum of 1.7 to 1 and remains s0 for st montns. That rano was t45 on Dacemoer 31, 2016 due primanly to an intentional temgorary, oscline n inventory ievels Norma entory leveis vail be reestablished during the frst quarter of 2017 2. Prepare tne lability section of a classfied caance shoet for Nevada Havester at December 31, 2016 eo answers in mitlions rounded to 1 decirnal and accruais are $23 milion. ( 000 should be engered as 5 NEVADA HARVESTER