William Company reported the following liabilities on December 31, 20x0: Accounts payable 750,000 Short-term borrowings 400,000 Bonds payable due 20x1 3,000,000 Premium on bonds payable 200,000 Mortgage payable, current portion P500,000 3,500,000 Bank loan, due June 30, 20x1 1,000,000 The P1,000,000 bank loan was refinanced with a 5-year loan on December 31, 20x0.The financial statements were issued March 1, 20x1.

1. What total amount should be reported as current liabilities on December 31, 20x0? A. 2,650,000 B. 4,850,000 C. 5,350,000 D. 5,850,000

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