Chapter 9 MCQ

Chapter 9 MCQ - Chapter 9 MCQ A current liability is a...

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Chapter 9 MCQ A current liability is a short-term obligation that Selected Answer: will be paid within one year of the balance sheet date. Correct Answer: will be paid in the longer of periods (A) and (B). Which of the following will increase the current ratio? Selected Answer: writing off a bad debt against the allowance account Correct Answer: paying an account payable The beginning and ending balances of accounts payable were $45,000 and $35,000, respectively. Net sales were $890,000, cost of goods sold was $600,000, and operating income was $80,000. Compute the average age of accounts payable.
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Selected Answer: 21.30 days Correct Answer: 24.33 days Question 6 Multiple Choice 0 of 1 points Accrued liabilities are Selected Answer: unearned revenues. Correct Answer: accrued expenses. Which of the following is INCORRECT?
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Selected Answer: The FICA tax effective January 1, 2005, applies to the first $90,000 of employee income earned during the year. Correct
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Chapter 9 MCQ - Chapter 9 MCQ A current liability is a...

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