The Balances of Select Accounts of Elliott,Inc

question 206

Multiple Choice

The balances of select accounts of Elliott,Inc.as of December 31,2018 are given below:

The Unearned Revenue is the amount of cash received for services to be rendered in January,2019.The Interest Payable is due on February 15,2019.What are the total current liabilities shown on the balance sheet at December 31,2018?

• A)$5,500
• B)$11,200
• C)$13,700
• D)$12,500

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Definitions:

Side-Effect Costs

Unintended expenses or losses that occur as a result of business decisions, not directly related to the project in question.

Incremental Overhead

Additional overhead costs that are incurred when an organization increases its production volume or undertakes new activities.

Financing Costs

Expenses incurred by a company in the process of raising capital through debts and/or equity, including interest payments and commissions.

Basic Overheads

The regular and necessary costs, such as rent and utilities, that are involved in operating a business.