Question

The following selected accounts and their current balances appear in the ledger of Kanpur Co. for the fiscal year ended June 30, 2019:
Please let me know the answer of Note payable (current portion) and Note payable (final payment due 2032) using below information.

Cash	$92,000		Gerri Faber, Drawing	$300,000
Accounts Receivable	450,000		Sales	8,925,000
Merchandise Inventory	370,000		Cost of Merchandise Sold	5,620,000
Estimated Returns Inventory	5,000		Sales Salaries Expense	850,000
Office Supplies	10,000		Advertising Expense	420,000
Prepaid Insurance	12,000		Depreciation Expense—Store Equipment	33,000
Office Equipment	220,000		Miscellaneous Selling Expense	18,000
Accumulated Depreciation—Office Equipment	58,000		Office Salaries Expense	540,000
Store Equipment	650,000		Rent Expense	48,000
Accumulated Depreciation—Store Equipment	87,500		Insurance Expense	24,000
Accounts Payable	38,500		Depreciation Expense—Office Equipment	10,000
Customer Refunds Payable	10,000		Office Supplies Expense	4,000
Salaries Payable	4,000		Miscellaneous Administrative Exp.	6,000
Note Payable (final payment due 2032)	140,000		Interest Expense	12,000
Gerri Faber, Capital	431,000

KANPUR CO. Balance Sheet June 30, 2019
Assets				Liabilities
Current assets:				Current liabilities:
Cash				Accounts payable
Accounts receivable				Customer refunds payable
Merchandise inventory				Salaries payable
Estimated returns inventory				Note payable (current portion)
Office supplies				Total current liabilities
Prepaid insurance				Long-term liabilities:
Total current assets				Note payable (final payment due 2032)
Property, plant, and equipment:				Total liabilities
Office equipment
Less accumulated depreciation-Office equipment				Owner's equity
Store equipment				Gerri Faber, capital
Less accumulated depreciation-Store equipment
Total property, plant, and equipment
Total assets				Total liabilities and owner's equity

Answer 1

--Requirement asked

--Notes Payable (Current Portion) is stated in Requirement 1 of Multi Step Income Statement where Current Portion is stated to be $ 7,000 in the question itself.
--Based on that, the Long Term Portion would be 140000 - 7000 = $ 133,000
--Check correct answers below, along with required workings.

Balance Sheet
June 30, 2019
Assets				Liabilities
Current assets:				Current liabilities:
Cash		$92,000		Accounts payable		$38,500
Accounts receivable		$450,000		Customer refunds payable		$10,000
Merchandise inventory		$370,000		Salaries payable		$4,000
Estimated returns inventory		$5,000		Note payable (current portion) [check Requirement 1 Multi Step Income Statement instruction carefully]		$7,000
Office supplies		$10,000		Total current liabilities			$59,500
Prepaid insurance		$12,000		Long-term liabilities:
Total current assets			$939,000	Note payable (final payment due 2032)			$133,000
Property, plant, and equipment:				Total liabilities			$192,500
Office equipment	$220,000
Less accumulated depreciation-Office equipment	$58,000	$162,000		Owner's equity
Store equipment	$650,000			Gerri Faber, capital	[see working below]		$1,471,000
Less accumulated depreciation-Store equipment	$87,500	$562,500
Total property, plant, and equipment			$724,500
Total assets			$1,663,500	Total liabilities and owner's equity			$1,663,500

--Working for Capital Balance used above

Beginning balance Gerri Faber, Capital		$431,000
Add: Net Income
Sales	$8,925,000
Cost of Merchandise Sold	($5,620,000)
Sales Salaries Expense	($850,000)
Advertising Expense	($420,000)
Depreciation Expense—Store Equipment	($33,000)
Miscellaneous Selling Expense	($18,000)
Office Salaries Expense	($540,000)
Rent Expense	($48,000)
Insurance Expense	($24,000)
Depreciation Expense—Office Equipment	($10,000)
Office Supplies Expense	($4,000)
Miscellaneous Administrative Exp.	($6,000)
Interest Expense	($12,000)
Net Income		$1,340,000
Less: Gerri Faber, Drawing		$300,000
Ending balance Gerri Faber, Capital		$1,471,000