Current vs. Noncurrent Asset Classification Insegrevious, Inc. is engaged in the business of manufacturing widgets. Insegrevious is unsure of how to classify certain transactions on its balance sheet. For the following transactions, determine the amount that needs to be included in the balance sheet for the period ending December 31, Year 4, as either current or noncurrent. Insegrevious paid $50,000 for rent on April 1, Year 1. Rent is $700 per month, due on the last day of the month Insegrevious purchased new equipment for $10,000 on January 1, Year 2. The equipment has a useful life of 10 years and has no salvage value. Insegrevious depreciates its equipment using the straight-line method. Insegrevious took out a 10-year loan for $40,000 on July 1, Year 3. Insegrevious must pay a total of $12,000 in interest over the life of the loan in equal monthly installments due at the end of each month. The entire balance of the loan is due June 30, year 13. On July 1, Year 4, Insegrevious prepaid $2,000 of interest. In year 3, Insegrevious made the following investments $4,000 in available-for-sale securities, all of which will be sold in Year 5. o $2,000 in held-to-maturity securities o TRANSACTION CURRENT NONCURRENT 1. PrePaid Rent 2. Equipment (net of accumulated depreciation) 3. Prepaid interest Investments 4. Available-for-sale securities 5 Held-to-maturity securities