What are the total liabilities based on the following data?
What are the total liabilities?
Accounts payable $80,000
Accounts receivable $55,000
Cash $78,000
Inventory $144,000
Buildings $158,000
Bonds payable $519,000
Supplies $10,800
Notes payable [missing amount]
Total Liabilities Calculation
Total liabilities can be calculated by adding up the amounts of different types of liabilities listed in the given data. In this case, the total liabilities would be the sum of accounts payable and bonds payable.
Given data: Accounts payable $80,000 and Bonds payable $519,000
Since the amount of Notes payable is missing, we will calculate Total Liabilities = Accounts payable + Bonds payable
Total Liabilities Calculation Result
Total liabilities = $80,000 + $519,000 = $599,000
It's important to note that the missing amount of Notes payable would need to be included in the total liabilities calculation if provided.
In the given financial data, the total liabilities can be determined by adding up the amounts of liabilities such as accounts payable and bonds payable. Total liabilities refer to the combined debts and obligations of a company that must be paid to creditors and other parties. In this case, the total liabilities amount to $599,000 based on the available information.
Liabilities play a crucial role in assessing a company's financial health and overall stability. They represent the claims of creditors against the company's assets and are essential for understanding the company's financial obligations and risks.
It is important for businesses to regularly monitor and manage their liabilities to ensure they can meet their financial obligations and maintain liquidity. By calculating the total liabilities, businesses can evaluate their debt levels and make informed decisions to improve their financial position.
Understanding and managing total liabilities is vital for stakeholders, investors, and financial analysts to assess a company's financial standing, solvency, and risk profile. By analyzing the total liabilities, stakeholders can gain insights into the company's ability to repay its debts and sustain its operations over the long term.