Wolfe Inc.
Wolfe Inc.reports these account balances at January 1, 2015:
-See the account balances for Wolfe Inc.
On January 31, Wolfe collected $12,000 of its accounts receivable and paid $11,000 on its note payable.On January 31, 2015, the total liabilities are:
A)$0
B)$56,000
C)$41,000
D)$30,000

Question

Wolfe Inc.
Wolfe Inc.reports these account balances at January 1, 2015: 
-See the account balances for Wolfe Inc.
On January 31, Wolfe collected $12,000 of its accounts receivable and paid $11,000 on its note payable.On January 31, 2015, the total liabilities are:
A)$0 
B)$56,000 
C)$41,000 
D)$30,000

Quizplus · Accepted Answer

- The accounts receivable balance is $35,000 and Wolfe collected $12,000, leaving a balance of $23,000
- The note payable balance is $18,000 and Wolfe paid $11,000, leaving a balance of $7,000
- Adding the remaining accounts payable balance of $11,000 and the note payable balance of $7,000 gives a total liabilities balance of $41,000.

Wolfe Inc. Wolfe Inc.reports These Account Balances at January 1, 2015