Exercise 10-15

Larkspur, Inc. reports the following liabilities (in thousands) on its January 31, 2017, balance sheet and notes to the financial statements.

Accounts payable $4,655.0 Mortgage payable $7,182.0 Accrued pension liability 1,281.0 Operating leases 2,483.0 Unearned rent revenue1,598.0 Notes payable (due in 2020) 402.0 Bonds payable 2,292.0 Salaries and wages payable 595.0 Current portion of mortgage payable 2,038.0 Notes payable (due in 2018) 3,401.0 Income taxes payable 292.0 Unused operating line of credit 3,787.0 Warranty liability?current 1,882.0

Exercise 1015 Larkspur, Inc. reports the following liabilities (in thousands) on its January 31, 2017, balance sheet and notes to the nancial statements. AccounE payable $4,655.0 Mortgage payable $7,182.D Accrued pension liability 1,281.0 Operating leases 2,483.0 Unearned rent revenue 1,598.0 Notes payable (due in 2020) 402.0 Bonds payable 2,292.0 Salaries and wages payable 595.0 Current portion of mortgage payable 2,038.0 Notes payable (clue in 2018) 3,401.0 Income taxes payable 292.0 Unused operating line of credit 3,787.0 Warranty liabilitycurrent 1,882.0 Your answer is correct. Identify which of the above liabilities are likely current and which are likely long-term. Account Classication Accounts payable 'Current Liability : 7] Accruecl pension liability Long-term Liability: Unearned rent revenue \"Current Liability : Ev] Bonds payable Longterm Liability : a Current portion of mortgage payable Current Liability : u Income taxes payable Current Liability : 7] Mortgage payable Long-term Liability: Operating leases Not Applicable : E] Notes payable (due in 2020) Long-term Liability: a u Salaries and wages payable Current Liability : i3] Notes payable (due in 2018) Current Liability : E| Unused operating line of credit Not Applicable G Warranty liabilitycurrent Current Liability 6 SHOW SOLUTION LIN K To TEXT Your answer is partially correct. Try again. Prepare the liabilities section of Larkspur's balance sheet as at January 31, 2017. LARKSPUR, INC. Balance Sheet (Partial) January 31, 2017 (in thousands) 1} Current Liabilities 7 Notes Payable $ 402 Accounts Payable 4655 X X Unearned Rent Revenue 1598 T T \"- Income Taxes Payable I] u- 292'] X X Salaries and Wages Expense 595 X Mortgage Payable X Warranty Liability Total Current Liabilities G 0 Long-term Investments Bonds Payable =9 =|a|=m Mortgage Payable I] Notes Payable l G El 7' El Accrued Pension Liability 1281] Total Long-term Liabilities 9] Total Liabilities $] I LINK TO TEXTI QUEStiOn Attempts: 1 of 5 used