The accounting records of Pacer Foods Inc. include the following items at December 31, 2017.

Requirements
1. Show how each relevant item would be reported on the Pacer Foods Inc. classified balance sheet, including headings and totals for current liabilities and long-term liabilities.
2. Answer the following questions about Pacer's financial position at December 31, 2017:
a. What is the carrying amount of the bonds payable? (Combine the current and long-term amounts.)
b. Why is the interest-payable amount so much less than the amount of interest expense?
3. How many times did Pacer cover its interest expense during 2017?

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Accumulated depreciation$219,000 Mortgage note payable 50,000 equipment.. 90,000 Discount on bonds payable current Bonds payable, long-ter Mortgage note payable 7,000 291,000 487,000 9,000 all long-ter.. 150,000 Operating incom Bonds payable, current portion Interest e 0,000 Equipment.. 7,000 Interest payable.