C. Three-year notes payable d. Mortgage payable as a single payment in 10 years 10 On January 1, 2014, Ermler Company, a calendar year company, issued $1,000,000 of notes payable, of which $250,000 is due on January 1 for each of the next four years. The proper balance sheet presentation on December 31, 2014, is a. Current liabilities, $1,000,000 b. Long-term debt, $1,000,000. c. Current liabilities, $500,000; Long-term Debt, $500,000 d. Current liabilities, $250,000; Long-term Debt, $750,000 11 The following totals for the month of April were taken from the payroll records of Noll Company Salaries $60,000 FICA taxes withheld 4,590 Income taxes withheld 12,500 Medical insurance deductions 2,250 Federal unemployment taxes 160 State unemployment taxes 1,080 The entry to record the payment of net payroll would include a a. debit to Salaries and Wages Payable for $39,580. b. debit to Salaries and Wages Payable for $40,660, c. debit to Salaries and Wages Payable for $36,070 d. credit to Cash for $45,250. 12 Mohling Company typically sells subscriptions on an annual basis, and publishes eight times a year. The magazine sells 45,000 subscriptions in January at $10 each. What entry is made in January to record the sale of the subscriptions? a. Subscriptions Receivable 450,000 Subscription Revenue 450,000 b. Cash 450,000 Unearned Subscription Revenue 450,000 C. Subscriptions Receivable 56,250 Unearned Subscription Revenue 56,250 d. Prepaid Subscriptions 450,000 Cash 450,000 13 If the market interest rate for a bond is higher than the stated interest rate, the bond will sell at a. a premium b. a discount C. par d. either a discount or premium