Chapter 11

Chapter 11 - year or the companys operating cycle. What is...

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Chapter 11: What is the difference between a current and a long term liability? Current liabilities: also called short-term liabilities, are obligations due within one year or the company’s operating cycle, whichever is longer. Long-term liabilities: A company’s obligations not expected to be paid within the longer of one year or the company’s operating cycle. The difference between a current liability and a long-term liability is that current liabilities are obligations due within one year or the company’s operating cycle, and long-term liabilities are not expected to be paid within the longer of one
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Unformatted text preview: year or the companys operating cycle. What is an estimated liability? Estimated liability: is a known obligation that is of an uncertain amount but that can be reasonably estimated. What determines the amount deducted from an employee's wages for federal income taxes? The amount deducted for federal withholding can vary considerably depending on the employees marital status, number of withholding allowances (dependents), and whether any additional withholding is authorized....
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