bank a one-year grace period to rectify the breach and during which the bank promises not to demand immediate Shameless Co.'s 20x1 financial statements were authorized for issue on March 31, 20x2. In...

Extracted text: bank a one-year grace period to rectify the breach and during which the bank promises not to demand immediate Shameless Co.'s 20x1 financial statements were authorized for issue on March 31, 20x2. In its 20x1 statement of financial position, repayment. what amount should Shameless Co. report as total current liabilities? a. 4,870,000 b.870,000 c. 750,000 d. 120,000


Extracted text: 6. Shameless Co. had the following liabilities on December 31. 20x1: Accounts payable Interest payable Long-term bank loan (maturing April 1, 20x9) 750,000 120,000 4,000,000 In 20x1, Shameless Co. breached an agreement on the long-term bank loan which rendered the loan repayable on demand. However, on February 29, 20x2, Shameless Co. received from the