What are the projected spontaneous liabilities

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Question - Smiley Corporation's current sales and partial balance sheet are shown below.

This year

Sales $10,000

Balance Sheet: Liabilities

Accounts payable $1,000

Notes payable $2,500

Accruals $1,000   

Total current liabilities $4,500

Long-term bonds $2,000

Total liabilities $6,500

Common stock $2,000

Retained earnings $2,500

Total common equity $4,500

Total liabilities & equity $11,000

Sales are expected to grow by 14% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities? Do not round intermediate calculations. Round your answer to the nearest dollar.

Reference no: EM132996069

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