On December 31, 2025, Whispering Company had $3,000,000 of short-term debt in the form of notes payable due February 2, 2026. On January 21, 2026, the company issued 50,000 shares of its common stock for $47 per share, receiving $2,350,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2026, the proceeds from the stock sale, supplemented by an additional $650,000 cash, are used to liquidate the $3,000,000 debt. The December 31, 2025, balance sheet is issued on February 23, 2026. Show how the $3,000,000 of short-term debt should be presented on the December 31, 2025, balance sheet. (Enter account name only and do not provide descriptive information.) WHISPERING COMPANY Balance Sheet (Partial) $
On December 31, 2025, Whispering Company had $3,000,000 of short-term debt in the form of notes payable due February 2, 2026. On January 21, 2026, the company issued 50,000 shares of its common stock for $47 per share, receiving $2,350,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2026, the proceeds from the stock sale, supplemented by an additional $650,000 cash, are used to liquidate the $3,000,000 debt. The December 31, 2025, balance sheet is issued on February 23, 2026. Show how the $3,000,000 of short-term debt should be presented on the December 31, 2025, balance sheet. (Enter account name only and do not provide descriptive information.) WHISPERING COMPANY Balance Sheet (Partial) $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On December 31, 2025, Whispering Company had $3,000,000 of short-term debt in the form of notes payable due February 2, 2026.
On January 21, 2026, the company issued 50,000 shares of its common stock for $47 per share, receiving $2,350,000 proceeds after
brokerage fees and other costs of issuance. On February 2, 2026, the proceeds from the stock sale, supplemented by an additional
$650,000 cash, are used to liquidate the $3,000,000 debt. The December 31, 2025, balance sheet is issued on February 23, 2026.
Show how the $3,000,000 of short-term debt should be presented on the December 31, 2025, balance sheet. (Enter account name only
and do not provide descriptive information.)
WHISPERING COMPANY
Balance Sheet (Partial)
$
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