Chapter 9 study financial accounting – Flashcards
Unlock all answers in this set
Unlock answersquestion
Liabilities
answer
A liability is a probable future payment of assets or services that a company is presently obligated to make as a result of past transactions or events
question
Current liabilities
answer
Currently Belize also called short-term liabilities are obligations due within one year or the company's operating cycle, whichever is longer. They are expected to be paid using current assets or right creating other current liabilities.
question
Examples of current liabilities
answer
Accounts payable. Wages payable. Short-term notes payable. Warranty liabilities lease liabilities. Taxes payable. And unearned revenues.
question
Long-term liabilities
answer
A company's obligations not expected to be paid within the longer of one year or the company's operating cycle
question
Examples of long-term liabilities
answer
Long term notes payable. Warranty liabilities. Lease liabilities. And bonds payable. They are sometimes reported on the balance sheet and a single long-term liabilities total or in multiple categories
question
Known liabilities
answer
Also known as definitely determinable liabilities
question
Examples of known liabilities
answer
Known liabilities include accounts payable. Notes payable. Payroll. Sales taxes. Unearned revenues. And releases.
question
Accounts payable
answer
Amounts owed to suppliers for products or Services purchased with credit also known as trade accounts payable
question
Sales taxes payable
answer
Amount the seller has collected as sales taxes from customers when cells occur which have not yet been remitted to the proper governmental agency
question
Unearned revenues
answer
Amount received in advance from customers for future products or services also known as deposits, deferred revenues, collections in advance and prepayments
question
Short-term notes payable
answer
Written promise to pay a specified amount on a definite future date within one year or the company's operating cycle whichever is longer
question
Unearned ticket revenue
answer
Is an unearned Revenue account and is reported as a current liability. Unearned revenues also arise with airline tickets cells magazine subscriptions. Construction projects. Hotel reservations. Gift card sales. And customer orders.
question
When companies pay the government collected sales tax, sales taxes payable is credited and cash is debited
answer
False
question
Unearned revenues are listed on the balance sheet under liabilities
answer
True
question
A short-term note payable
answer
can be transferred from party to party by endorsement
question
Interest
answer
Difference between the amount borrowed and the amount repaid is interest.
question
Contingent Liability
answer
Obligation to make a future payment if and only if an uncertain future event occurs
question
Deferred Income tax liability
answer
...
question
Employee benefit
answer
...
question
Employee earnings report
answer
...
question
Estimated liability
answer
...
question
Federal depository Bank
answer
...
question
Federal Insurance contributions Act FICA taxes
answer
...
question
Federal unemployment tax act futa
answer
...
question
Form 940
answer
...
question
Form 941
answer
...
question
Form W-2
answer
...
question
Form W-4
answer
...
question
Gross pay
answer
...
question
Merit rating
answer
...
question
Net pay
answer
...
question
Payroll bank account
answer
...
question
Payroll deductions
answer
...
question
Payroll register
answer
...
question
Short-term notes payable
answer
...
question
State unemployment tax act SUTA
answer
...
question
Times interest earned
answer
...
question
Weight bracket withholding table
answer
...
question
Warranty
answer
...
