Match the following items with the appropriate designation (Current liability, Long-term liability, or Not a liability).
-FICA taxes payable
A)Long-term liability
B)Not a liability
C)Current liability

Question

Quizplus · Accepted Answer

FICA taxes payable are considered a current liability because they are obligations that are expected to be settled within one year or the operating cycle, whichever is longer. These taxes are withheld from employees' wages and are due to be paid to the government periodically.

Match the Following Items with the Appropriate Designation (Current Liability