Bake Co.’s trial balance included the following at December 31, 2003:
|
Accounts payable |
$ 80,000 |
|
Bonds payable, due 2004 |
300,000 |
|
Discount on bonds payable |
15,000 |
|
Deferred income tax liability |
25,000 |
The deferred income tax liability is not related to an asset for financial accounting purposes and is expected to reverse in 2004. What amount should be included in the current liability section of Bake’s December 31, 2003 balance sheet?
- $365,000
- $390,000
- $395,000
- $420,000