Chapter 9, Problem 104.3C

To determine

(a)

Introduction:

Liabilities are the items that the company owes to outsiders. All the liability accounts have credit (ending) balance and are shown on the left side of the balance sheet under the head ‘Liabilities’. These are also referred to as debt of the company.

The maturity date of debt with highest effective rate of interest for Company M.

To determine

(b)

Introduction:

Liabilities are the items that the company owes to outsiders. All the liability accounts have credit (ending) balance and are shown on the left side of the balance sheet under the head ‘Liabilities’ These are also referred to as debt of the company.

To calculate:

The debt amount with maturity in next 5 years, i.e., 2017-2022 and beyond 2022.

To determine

(c)

Introduction:

Liabilities are the items that the company owes to outsiders. All the liability accounts have credit (ending) balance and are shown on the left side of the balance sheet under the head ‘Liabilities’ These are also referred to as debt of the company.

To calculate:

The credit allowed, expiry date and interest rate of multicurrency credit agreement.