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Exercise 9-8A (Algo) Current liabilities LO 9-1, 9-2, 9-4

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[The following information applies to the questions displayed below.] The following transactions apply to Ozark Sales for Year 1:

The business was started when the company received $49,000 from the issue of common stock.

Purchased merchandise inventory of $175,000 on account.

Sold merchandise for $194,000 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $119,000.

Provided a six-month warranty on the merchandise sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales.

Paid the sales tax to the state agency on $144,000 of the sales.

On September 1, Year 1, borrowed $21,500 from the local bank. The note had a 5 percent interest rate and matured on March 1, Year 2.

Paid $5,500 for warranty repairs during the year.

Paid operating expenses of $53,000 for the year.

Paid $125,100 of accounts payable.

Recorded accrued interest on the note issued in transaction number 6.

Exercise 9-8A (Algo) Part d

REQUIRED

A. What is the total amount of current liabilities at December 31, Year 1? (Round your intermediate calculation to the nearest dollar.)

Total current liabilities