The Adjusted Trial Balance for Lamar Corp

question 72

Multiple Choice

The adjusted trial balance for Lamar Corp. at the end of the current year, 2015, contained the following accounts. 5-year Bonds Payable 8% $1,500,000
Interest Payable 50,000
Premium on Bonds Payable 150,000
Notes Payable (3 mo.) 40,000
Notes Payable (5 yr.) 145,000
Mortgage Payable ($10,000 due currently) 300,000
Salaries and Wages Payable 18,000
Taxes Payable (due 3/15 of 2016) 25,000
The total long-term liabilities reported on the balance sheet are

• A) $1,945,000.
• B) $1,935,000.
• C) $2,095,000.
• D) $2,085,000.

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Definitions:

Long-Run Aggregate Supply

Long-Run Aggregate Supply (LRAS) represents an economy's total production capacity when all factors of production are fully utilized, assuming constant technology and resource availability.

Real GDP

The measure of a country's economic output adjusted for price changes, such as inflation or deflation, giving a more accurate reflection of the economy's size and how it's growing over time.

Business Cycles

Fluctuations in economic activity characterized by periods of expansion (growth) and contraction (recession) in an economy.

Upward Trend

A pattern or movement in data points that shows an increase over a period of time, often used in economic, financial, and market analyses.