"QUESTION 4 Server Planet operates a web hosting company. Examine the following items and prepare the current liability section of the company's December 31, 20X7, statement of financial position. (1)Web hosting services are subject to sales taxes, and Server Planet collected $65,000 during the year. All of these amounts have been remitted to taxing authorities, with the exception of $5,000 that is due to be paid in January, 20X8. (2The company has total bank loans of $1,500,000. This debt bears interest at 6%, payable monthly. As of December 31, 20X7, all interest had been paid, with the exception of accrued interest for the last half of December. (3)The company's bank loans ($1,500,000) are all due on June 30, 20X8. However, Server Planet has a firm lending agreement with the bank to renew and extend $1,000,000 of this amount on a 5-year basis. The company intends to exercise this renewal option, but is not yet sure about the final disposition of the remainder. Please answer the 3questions by instructions, and explain to me clearly to answers"
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