1. A possible liability is a liability that is known to exist but the exact amount is unknown.

Select one:

True

False

2. Obligations that must be repaid within one year or the operating cycle, whichever is shorter, are called current liabilities.

Select one:

True

False

Points out of 5.00

3. Net pay equals gross pay less applicable payroll taxes and worker's compensation insurance.

Select one:

True

False

4. The withholding of taxes from an employee's pay is recorded as an expense to the company.

Select one:

True

False

5. When bonds are sold by one investor to another, they sell at market price plus accrued interest since the last payment date.

Select one:

True

False