The total liabilities of Stockton Company for the period ended December 31 are $6,200.
The liabilities are made up of the following accounts and determined as follows:
Accounts Payable 1,900
Notes Payable 4,300
Total liabilities $6,200
The liabilities represent the resources that Stockton Company owes to third parties for goods and services received on credit.
Data and Calculations:
Trial Balance December 31
Cash 7,530
Accounts Receivable 2,100
Prepaid Expenses 700
Equipment 13,700
Accumulated Depreciation 1,100
Accounts Payable 1,900
Notes Payable 4,300
Common Stock 1,000
Retained Earnings 12,940
Dividends 790
Fees Earned 9,250
Wages Expense 2,500
Rent Expense 1,960
Utilities Expense 775
Depreciation Expense 250
Miscellaneous Expense 185
Totals 30,490 30,490
Thus, the total liabilities of Stockton Company are $6,200, which comprised the Accounts and Notes Payables.
Learn more about computing liabilities of a business at https://brainly.com/question/24188538
