A list of liabilities follows. For each item, indicate by using the letter C that it will be reported as a current liability, N that it will be reported as a non-current liability, or B that it potentially can be reported as either or both a current and non-current liability. For obligations that you determine to be N or B, briefly explain why this is the case.

Transcribed Image Text:

Item Liability 1. 2. 3. 4. 5. 6. in 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. Accounts payable Warranties payable Deposits Bank overdraft Sales tax payable Bank loan maturing in five years was in default during the year; before year-end, the lender grants a grace period that extends 12 months after the balance sheet date. Five-year term loan; amortized payments are payable annually Unearned revenue Finance lease obligation HST payable 90-day bank loan Bond payable that matures in two years Obligation under customer loyalty plan. (Customer's discretion as to when to redeem.) Income taxes payable Bank loan that matures in five years that is currently in default Three-year bank loan that matures six months after the balance sheet date Current or non-current liability, or potentially both? Explanation