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The balance sheet at December 31, 2018, for Nevada Harvester Corporation includes the liabilities listed below: a. 8% bonds with a face amount of $43

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The balance sheet at December 31, 2018, for Nevada Harvester Corporation includes the liabilities listed below: a. 8% bonds with a face amount of $43 million were issued for $43 million on October 31, 2009. The bonds mature on October 31, 2029. Bondholders have the option of calling (demanding payment on) the bonds on October 31, 2019, at a redemption price of $43 million. Market conditions are such that the call is not expected to be exercised b. Management intended to refinance $8.9 million of its 12% notes that mature in May 2019 In early March, prior to the actual issuance c Noncallable 9% bonds with a face amount of $190 million were issued for $190 million on September 30 1996 The bonds mature d. A $13 million 6% bank loan is payable on October 31, 2024, The bank has the right to demand payment after any fiscal year-end in of the 2018 financial statements, Nevada Harvester negotiated a line of credit with a commercial bank for up to $4.5 million any time during 2019. Any borrowings will mature two years from the date of borrowing. on September 30, 2019. Sufficient cash is expected to be available to retire the bonds at maturity. which Nevada Harvester's ratio of current assets to current liabilities falls below a contractual minimum of 1.7 to 1 and remains so for six months. That ratio was 1.45 on December 31, 2018, due primarily to an intentional temporary decline in inventory levels. Norma inventory levels will be reestablished during the first quarter of 2019 Required: 1. For each liability listed above, what amount will be reported as a current liability on the December 31, 2018 balance sheet? 2. Prepare the liability section of a classified balance sheet for Nevada Harvester at December 31, 2018. Accounts payable and accruals are $23 million

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