Projected Spontaneous LiabilitiesSmiley Corporation's current sales and partial balance sheet are shown below. This yearSales $10,000 Balance Sheet: Liabilities Accounts payable $1,000 Notes payable $2,500 Accruals $1,600 Total current liabilities $5,100 Long-term bonds $2,000 Total liabilities $7,100 Common stock $1,000 Retained earnings $2,000 Total common equity $3,000 Total liabilities & equity $10,100 Sales are expected to grow by 10% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities? Do not round intermediate calculations. Round your answer to the nearest dollar.$

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Managerial Accounting: The Cornerstone of Business Decision-Making

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ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

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Problem 50E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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Projected Spontaneous Liabilities

Smiley Corporation's current sales and partial balance sheet are shown below.

	This year
Sales		$	10,000
Balance Sheet: Liabilities
Accounts payable		$	1,000
Notes payable		$	2,500
Accruals		$	1,600
Total current liabilities		$	5,100
Long-term bonds		$	2,000
Total liabilities		$	7,100
Common stock		$	1,000
Retained earnings		$	2,000
Total common equity		$	3,000
Total liabilities & equity		$	10,100

Sales are expected to grow by 10% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities? Do not round intermediate calculations. Round your answer to the nearest dollar.

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