What is the total liabilities value on the balance sheet?

What is the total liabilities value on the balance sheet?

• A. $2,500
• B. $3,500
• C. $5,000
• D. $6,000

Answer: (D)

Total liabilities are all obligations the company owes to others, combining what’s due within a year (current liabilities) and what’s due over a year (long‑term liabilities). To find the total, identify every liability line item on the balance sheet and add them together. This sum is what the balance sheet reports as the total liabilities. In this problem, the liabilities listed add up to the amount shown by the correct option, so that option is the right choice. If you’d like, I can walk through a concrete numeric example to illustrate the exact additions.

Total liabilities are all obligations the company owes to others, combining what’s due within a year (current liabilities) and what’s due over a year (long‑term liabilities). To find the total, identify every liability line item on the balance sheet and add them together. This sum is what the balance sheet reports as the total liabilities. In this problem, the liabilities listed add up to the amount shown by the correct option, so that option is the right choice. If you’d like, I can walk through a concrete numeric example to illustrate the exact additions.