At October 1, 2010, Padilla Industries Had an Accounts Payable

question 137

Multiple Choice

At October 1, 2010, Padilla Industries had an accounts payable balance of $30,000. During the month, the company made purchases on account of $25,000 and made payments on account of $40,000. At October 31, 2010, the accounts payable balance is

• A) $30,000.
• B) $10,000.
• C) $15,000.
• D) $40,000. [

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Definitions:

Non-Controlling Interest

A financial interest in a subsidiary not attributed to the parent company, representing minority shareholders' equity in the subsidiary's net assets.

Bonds Payable

Long-term liabilities representing money owed by a corporation or government to bondholders, to be repaid at a specific future date.

Straight Line Amortization

A method of amortizing an intangible asset evenly over its useful life.

Voting Shares

Equity that grants the investor voting privileges on matters like board of directors' elections.