Required information

At the end of the first month of operations for SloMo Delivery Service, the business had the following accounts: Accounts Receivable, $1,230; Prepaid Insurance, $530; Equipment, $36,500 and Cash, $40,800. On the same date, SloMo owed the following creditors: Simpson Supply Company, $12,300; Allen Office Equipment, $9,650.

The total amount of Liabilities is:

Multiple Choice

• $36,500

• $9,650

• $40,800

• $21,950