Fall Company operates a retail grocery store that is required by law to collect refundable deposits of P5 on soda cans.  Information for 2018 follwos: Liability for refundable deposits – January 16, 2019                        150,000 Cans of soda sold                                                                                    100,000 Soda cans returned                                                                                110,000 On February 1, 2018, Fall company subleased space and received a 25,000 deposit to be applied against rent at the expiration of the lease in 2020. In the December 31, 2019 statement of financial position, what amounts should be reported as current liabilities for deposits?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Fall Company operates a retail grocery store that is required by law to collect refundable deposits of P5 on soda cans.  Information for 2018 follwos:

Liability for refundable deposits – January 16, 2019                        150,000

Cans of soda sold                                                                                    100,000

Soda cans returned                                                                                110,000

On February 1, 2018, Fall company subleased space and received a 25,000 deposit to be applied against rent at the expiration of the lease in 2020.

In the December 31, 2019 statement of financial position, what amounts should be reported as current liabilities for deposits?

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