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: C if it is a current liability, L if it is a long-term liability, or Nif it is not a liability. Item Classification 1.Notes payable (due in 13 to 24 months) 2. Notes payable (due in 6 to 11 months). 3. Notes payable (mature in five years). 4. Current portion of long-term debt. 5.Notes payable (due in 120 days). 6. FUTA taxes payable 7. Accounts receivable 8. Sales taxes payable. 9. Salaries payable. 10. Wages payable