Financial & Managerial Accounting
13th Edition
ISBN: 9781285866307
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Question
Chapter 10, Problem 10.7EX
a)
To determine
Long-term debt: Long-term debt refers to the obligation of the company to be paid after one year or one operating cycle whichever is longer. Generally, the long-term debt is reported under the long-term liabilities section of the balance sheet.
Current portion of long-term debt: The amount of debt which would be paid within one year is called as current portion of long-term debt. The current portion of long-term debt is reported as a current liability.
To identify: The amount of long-term debt that was disclosed as a current liability on the current year’s December 31 balance sheet.
b)
To determine
The amount of change in total current liabilities between the preceding year and the current year as a result of the current portion of long-term debt.
c)
To determine
To identify: The amount of total long-term debt on December 31 of the upcoming year.
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Students have asked these similar questions
Current portion of long-term debt PepsiCo, Inc. (PEP) reported the following information about its long-term debt in
the notes to a recent financial statement (in millions): Long-term debt consists of the following: Total long term-debt
Current portion December 31 Current Year $29,148 (2,848) $26,300 December 31 Preceding Year $28,295 (3,953)
$24,342 Long-term debt a. How much of the long-term debt was disclosed as a current liability on the current
year's December 31 balance sheet? $ million b. How much did the total current liabilities change between the
preceding year and the current year as a result of the current portion of long-term debt? million c. If PepsiCo did not
issue additional long-term debt next year, what would be the total long-term debt on December 31 of the upcoming
year? million
Current portion of long-term debt
PepsiCo, Inc. (PEP) reported the following information about its long-term debt in the notes to a recent financial statement (in millions):
Long-term debt…
Current Portion of Long-Term Debt
PepsiCo, Inc., reported the following information about its long-term debt in the notes to a recent financial statement (in millions):
Long-term debt is comprised of the following:
December 31
Current Year
Preceding Year
Total long term-debt
$32,248
$37,816
Less current portion
(3,953)
(4,020)
Long-term debt
$28,295
$33,796
Enter your answers in millions.
a. How much of the long-term debt was disclosed as a current liability on the current year's December 31 balance sheet?$
b. How much did the total current liabilities change between the preceding year and the current year as a result of the current portion of long-term debt?$
c. If PepsiCo did not issue additional long-term debt next year, what would be the total long-term debt on December 31 of the upcoming year?$
Current Portion of Long-Term Debt
Connie's Bistro, Inc. reported the following information about its long-term debt in the notes to a recent financial statement (in millions):
Long-term debt consists of the following:
December 31
Current
Preceding
Year
Year
Total long-term debt
$667,600
$367,200
Less current portion
(193,600) (180,300)
Long-term debt
$474,000
$186,900
a. How much of the long-term debt wasHisclosed as a current liability on the current year's December 31 balance sheet?
b. How much did the total current liabilities change between the preceding year and the current year as a result of the current portion of long-term debt?
c. If Connie's Bistro did not issue additional long-term debt next year, what would be the total long-term debt on December 31 of the upcoming year?
Chapter 10 Solutions
Financial & Managerial Accounting
Ch. 10 - Does a discounted note payable provide credit...Ch. 10 - Employees are subject to taxes withheld from their...Ch. 10 - Prob. 3DQCh. 10 - Prob. 4DQCh. 10 - Prob. 5DQCh. 10 - Prob. 6DQCh. 10 - To match revenues and expenses properly, should...Ch. 10 - Prob. 8DQCh. 10 - When should the liability associated with a...Ch. 10 - Prob. 10DQ
Ch. 10 - Proceeds from notes payable On October 12,...Ch. 10 - Proceeds from notes payable On January 26, Nyree...Ch. 10 - Prob. 10.2APECh. 10 - Prob. 10.2BPECh. 10 - Prob. 10.3APECh. 10 - Prob. 10.3BPECh. 10 - Prob. 10.4APECh. 10 - Prob. 10.4BPECh. 10 - Prob. 10.5APECh. 10 - Prob. 10.5BPECh. 10 - Prob. 10.6APECh. 10 - Prob. 10.6BPECh. 10 - Prob. 10.7APECh. 10 - Prob. 10.7BPECh. 10 - Quick ratio Nabors Company reported the following...Ch. 10 - Quick ratio Adieu Company reported the following...Ch. 10 - Current liabilities Bon Nebo Co. sold 25,000...Ch. 10 - Entries for discounting notes payable Griffin...Ch. 10 - Evaluating alternative notes A borrower has two...Ch. 10 - Entries for notes payable A business issued a...Ch. 10 - Entries for discounted note payable A business...Ch. 10 - Prob. 10.6EXCh. 10 - Prob. 10.7EXCh. 10 - Calculate payroll An employee earns 32 per hour...Ch. 10 - Prob. 10.9EXCh. 10 - Prob. 10.10EXCh. 10 - Payroll tax entries According to a summary of the...Ch. 10 - Prob. 10.12EXCh. 10 - Prob. 10.13EXCh. 10 - Prob. 10.14EXCh. 10 - Prob. 10.15EXCh. 10 - Accrued vacation pay A business provides its...Ch. 10 - Pension plan entries Yuri Co. operates a chain of...Ch. 10 - Prob. 10.18EXCh. 10 - Accrued product warranty Lowe Manufacturing Co....Ch. 10 - Prob. 10.20EXCh. 10 - Prob. 10.21EXCh. 10 - Quick ratio Gmeiner Co. had the following current...Ch. 10 - Prob. 10.23EXCh. 10 - Liability transactions The following items were...Ch. 10 - Entries for payroll and payroll taxes The...Ch. 10 - Wage and tax statement data on employer FICA tax...Ch. 10 - Payroll register The following data for Throwback...Ch. 10 - Payroll accounts and year-end entries The...Ch. 10 - Prob. 10.1BPRCh. 10 - Entries for payroll and payroll taxes The...Ch. 10 - Prob. 10.3BPRCh. 10 - Prob. 10.4BPRCh. 10 - Payroll accounts and year-end entries The...Ch. 10 - Prob. 1CPPCh. 10 - Ethics and professional conduct in business Tonya...Ch. 10 - Prob. 10.2CPCh. 10 - Prob. 10.3CPCh. 10 - Prob. 10.5CP
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