Projected Spontaneous Liabilities Smiley Corporation's current sales and partial balance sheet are shown below. ...
90.2K
Verified Solution
Link Copied!
Question
Accounting
Projected Spontaneous Liabilities
Smiley Corporation's current sales and partial balance sheet are shown below.
| This year | ||||
| Sales | $ | 10,000 | ||
| Balance Sheet: Liabilities | ||||
| Accounts payable | $ | 1,000 | ||
| Notes payable | $ | 2,000 | ||
| Accruals | $ | 1,200 | ||
| Total current liabilities | $ | 4,200 | ||
| Long-term bonds | $ | 2,000 | ||
| Total liabilities | $ | 6,200 | ||
| Common stock | $ | 1,500 | ||
| Retained earnings | $ | 3,000 | ||
| Total common equity | $ | 4,500 | ||
| Total liabilities & equity | $ | 10,700 | ||
Sales are expected to grow by 14% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities? Do not round intermediate calculations. Round your answer to the nearest dollar.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.