INSTRUCTIONS: For all the numbers shown below, assume that we are preparing the liabilities section of the

Statement of Financial Position of SuperStar Inc. for Dec. 31, 2010. Indicate whether the item should be shown as current liabilities or noncurrent liabilities. Where applicable, show how much should be classified as current liabilities and how much should be reported under noncurrent liabilities.

1. Serial bonds payable, maturing at P1,000,000 every Jan. 1, starting on Jan. 1, 2012, P5,000,000. 2. Advances from customers, P800,000, of which only P300,000 of goods are to be delivered on Jan. 31, 2011, the balance will be delivered after 2011. 3. Credit balance in Cash in Metrobank account, P25,000. 4. Non-interest bearing notes payable, P300,000 of which P100,000 matures on Jan. 1, 2012; the balance matures in 2011. 5. 8%, 1-year Note Payable dated June 30, 2010, P500,000. 6. Unpaid salaries of employees, P18,400. 7. Telephone expenses already incurred but not yet paid at Dec. 31, 2010, P6,000.