A-LevelAccountingPreparation of financial statements9706/12 · Oct/Nov 2022 · Q101 Mark
A trader took out a 6% bank loan of $30000 on 1 November 2021, to be repaid in full in 10 years' time. Interest is to be paid annually. No interest had been paid by 30 April 2022. How should this be recorded in the statement of financial position at 30 April 2022?
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Acurrent liabilities $: 0; non-current liabilities $: 30000
Bcurrent liabilities $: 900; non-current liabilities $: 30000
Ccurrent liabilities $: 1800; non-current liabilities $: 30000
Dcurrent liabilities $: 30900; non-current liabilities $: 0
✓ Correct answer
B: current liabilities $: 900; non-current liabilities $: 30000
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