4 Exercise 9-1 Classifying liabilities LO C1 The following items appear on the balance sheet of a company with a one-year operating cycle. Identify the proper classification of each item as follows: Cif it is a current liability, Lif it is a long-term liability, or N if it is not a liability. nts Classification eBook Ask Item 1. Notes payable (due in 120 days). 2. Sales taxes payable. 3. Employee Medical Insurance Payable 4. Pension liability (to be paid to employees retiring in 2 to 5 years) 5. Notes payable (due in 6 to 11 months). 6. Machinery (expected life of 4 years) 7. FICASocial Security Taxes Payable 8. Employee Union Dues Payable 9. FICAMedicare Taxes Payable 10. Bonus payable (to be paid in 60 days) eferences