maxwell company worksheet for the month ended april 30,20xx account title income statement balance sheet…

maxwell company worksheet for the month ended april 30,20xx account title income statement balance sheet debit credit debit credit cash 1,000.00 accounts receivable 90.00 supplies 610.00 prepaid insurance 1,200.00 accounts payable 975.00 amos maxwell, capital 1,025.00 amos maxwell, drawing 100.00 sales 450.00 3,000.00 advertising expense 300.00 insurance expense 200.00 miscellaneous expense 200.00 rent expense 800.00 supplies expense 250.00 2,000.00 3,000.00 3,000.00 2,000.00 net income 1,000.00 1,000.00 3,000.00 3,000.00 3,000.00 3,000.00 what are the total liabilities for the balance sheet? a. $975.00 b. $1,025.00 c. $2,000.00 d. $3,000.00

maxwell company worksheet for the month ended april 30,20xx account title income statement balance sheet debit credit debit credit cash 1,000.00 accounts receivable 90.00 supplies 610.00 prepaid insurance 1,200.00 accounts payable 975.00 amos maxwell, capital 1,025.00 amos maxwell, drawing 100.00 sales 450.00 3,000.00 advertising expense 300.00 insurance expense 200.00 miscellaneous expense 200.00 rent expense 800.00 supplies expense 250.00 2,000.00 3,000.00 3,000.00 2,000.00 net income 1,000.00 1,000.00 3,000.00 3,000.00 3,000.00 3,000.00 what are the total liabilities for the balance sheet? a. $975.00 b. $1,025.00 c. $2,000.00 d. $3,000.00

Answer

Explanation:

Step1: Identify liability accounts

Accounts Payable is a liability.

Step2: Find the amount of Accounts Payable

The amount of Accounts Payable is $1,200.00. But there is an error in the problem - the only liability - like account shown in the balance - sheet columns is Accounts Payable with a credit balance of $975.00. Liabilities have credit balances.

Answer:

A. $975.00