3. Bake Company reported the following information on December 31, 2020: Accounts Payable 800,000 Bonds Payable, due 2021 Discount on Bonds Payable Deferred Tax Liability 500,000 Dividend Payable, due on February 15, 2022 1,000,000 Income Tax Payable 800,000 Note Payable due January 15, 2022 1,200,000 The deferred tax liability is based on temporary differences stemming from different depreciation method for financial reporting purposes. What total amount should be reported as current liabilities on December 31, 2020? a. 6,400,000 b. 7,200,000 4,000,000 400,000 c. 7,400,000 d. 7,600,000

3. Bake Company reported the following information on December 31, 2020: Accounts Payable 800,000 Bonds Payable, due 2021 Discount on Bonds Payable Deferred Tax Liability 500,000 Dividend Payable, due on February 15, 2022 1,000,000 Income Tax Payable 800,000 Note Payable due January 15, 2022 1,200,000 The deferred tax liability is based on temporary differences stemming from different depreciation method for financial reporting purposes. What total amount should be reported as current liabilities on December 31, 2020? a. 6,400,000 b. 7,200,000 4,000,000 400,000 c. 7,400,000 d. 7,600,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please answer it in good accounting form
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