Perry & Perry, Inc.'s assets consist only of current assets and net plant and equipment. The firm has total assets of $10 million and has net plant and equipment of $4.3 million. The long-term debt is $3.8 million, and notes payable total $1.2 million. Total common equity is $3.75 million with the remainder of the balance sheet funding coming from accounts payable and accruals. With this information, answer the following: What is the amount of total liabilities on the firm's balance sheet?
A. $6.25 million
B. $5 million
C. $1.25 million
D. Can't be determined
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