Lyle, Inc. is preparing its financial statements for the year ended December 31, 2006. Accounts payable amounted to $360,000 before any necessary year-end adjustment related to the following:
- At December 31, 2006, Lyle has a $50,000 debit balance in its accounts payable to Ross, a supplier, resulting from a $50,000 advance payment for goods to be manufactured to Lyle’s specifications.
- Checks in the amount of $100,000 were written to vendors and recorded on December 29, 2006. The checks were mailed on January 5, 2007.
What amount should Lyle report as accounts payable in its December 31, 2006 balance sheet?