Ceramic Products,Inc.reports these account balances at January 1,2018 (shown in alphabetical order): On January 5,Ceramic Products collected $12,000 of its accounts receivable and paid $11,000 on its note payable.On January 6,2018,total liabilities are:

Question

Ceramic Products,Inc.reports these account balances at January 1,2018 (shown in alphabetical order):  On January 5,Ceramic Products collected $12,000 of its accounts receivable and paid $11,000 on its note payable.On January 6,2018,total liabilities are:

Quizplus · Accepted Answer

The accounts receivable collection and note payable payment do not affect total liabilities. Therefore, we simply add up the initial balances of all the liabilities to get the total amount of liabilities on January 6, 2018:
$15,000 + $20,000 + $6,000 = $41,000. Thus, the correct answer is D, $41,000.