For all payroll calculations, use the following tax rates and round amounts to the nearest centEmployee: OASDI: 6.2% on first $118,500 earned; Medicare 1.45% up to $200,000, 2.35% on earnings above $200,000.Employer: OASDI: 6.2% on first $118,500 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned.Determining current versus long-term liabilitiesRios Raft Company had the following liabilities.Accounts PayableNote Payable due in 3 yearsSalaries PayableNote Payable due in 6 monthsSales Tax PayableUnearned Revenue Due in 8 monthsIncome Tax PayableDetermine whether each liability would be considered a current liability(CL) or a long-term Liability(LTL).

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Asked Jan 12, 2020
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For all payroll calculations, use the following tax rates and round amounts to the nearest cent

Employee: OASDI: 6.2% on first $118,500 earned; Medicare 1.45% up to $200,000, 2.35% on earnings above $200,000.Employer: OASDI: 6.2% on first $118,500 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned.

Determining current versus long-term liabilities

Rios Raft Company had the following liabilities.

  • Accounts Payable
  • Note Payable due in 3 years
  • Salaries Payable
  • Note Payable due in 6 months
  • Sales Tax Payable
  • Unearned Revenue Due in 8 months
  • Income Tax Payable

Determine whether each liability would be considered a current liability(CL) or a long-term Liability(LTL).

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