What are the total consolidated current liabilities at January 2, 2019?
A) $53,200.
B) $56,000.
C) $64,400.
D) $42,000.
E) $70,000.

Question

Quizplus · Accepted Answer

By adding up the current liabilities of each individual company as listed on their balance sheets, we get a total of:
- Company A: $12,000
- Company B: $26,000
- Company C: $14,400
- Company D: $12,000
- Company E: $8,000

Adding these up gives a total of $72,400. However, we must subtract out the intercompany elimination of $8,000 (which is a liability owed by one subsidiary to another) to get a final total consolidated current liabilities of $64,400.

What Are the Total Consolidated Current Liabilities at January 2