December 31,2020

2.) On December 31, 2020, Lovely Company had a P900 000 note payable outstanding due July 31, 2021. The entity planned to refinance the note by issuing long-term bonds. Because the entity temporarily had excess cash, it prepaid P300 000 of the note on January 15,2021. In February 2021, the entity completed a P1.500,000 bond offering. The entity will use the bond offering proceeds to repay the note payable at its maturity. On March 31, 2021, the 2020 financial statements were authorized for issue What amount of the note payable should be included in current liabilities on December 31, 2020? A. Q B. P300,000 C-600 000. D. 900,0001.) Inter Company sells its products in reusable, expensive containers. The customer charged a deposit for each container delivered and receives a refund for each container returned within two years after the year of delivery. Inter accounts for the containers not returned within the time limit as being retired by sale at the deposit amount. Information for 2020 is as follows: Deposits for containers at December 31, 2019 from deliveries in: 2018 225,000 2019 645,000 870,000 Deposits for containers delivered in 2020 1,170,000 Deposits for containers returned in 2020 from deliveries in: 2018 135,000 2019 375,000 2020 429,000 939,000 What amount should Inter Company report as a liability for deposits on returnable containers at December 31, 2020? A. 1,101,000 B. 966,000 C. 741,000 D. 1,011,000