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 Nif it is not a liability Item Classification 4. 1. Employee Union Dues Payable 2. Notes payable (due in 6 to 11 months) 3. Employee Medical Insurance Payable Interest payable (due in 90 days) 5. Employee Federal Income Taxes Payable 6. FICA-Social Security Taxes Payable 7 Bonus payable (to be paid in 60 days) 8. Notes payable (due in 120 days) 9. Bonds payable (due in 2 years) 10. Machinery (expected life of 4 years) L Next >