ACC 422 Expect Success/uophelp.com ACC 422 Expect Success/uophelp.com | Page 79

but after deducting the bonus. If income before income tax and the bonus is $320,000, the amount of the bonus should be =============================================== ACC 422 Week 4 DQ 1 For more course tutorials visit www.uophelp.com Week 4 – DQ 1 What are the criteria for classifying an item as a current liability? What are some examples of current liabilities? Why is it important to classify a portion of long-term debt on a yearly basis as a current liability? What is the implication of misclassifying a liability as current or longterm? =============================================== ACC 422 Week 4 DQ 2 For more course tutorials visit www.uophelp.com Week 4 – DQ 2 What is a contingency? Why are contingencies important to users of financial statements? What are the criteria for recording contingencies? Should companies record a liability for threatened litigation? Explain why or why not. =============================================== ACC 422 Week 4 DQ 3 For more course tutorials visit www.uophelp.com