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21 social security and medicare taxes have a cap on employees 39 salaries where the 4298525

 

 

21. Social security and Medicare taxes have a cap on employees' salaries where the tax is ended. 
 

 

22. If a long-term debt is to be paid off in monthly installments over a 5-year period, the entire principal should be classified as a long-term debt. 
 

 

23. There is a tax advantage for a company to issue bonds in lieu of stocks. 
 

 

24. The withholding of taxes from an employee's pay is a liability to the company. 
 

 

25. Bonds payable are a means of dividing a very large, long-term liability among many creditors, some of whom may participate in the loan only for a short period of time. 
 

 

26. Liabilities that fall due within one year or within the operating cycle are classified as current liabilities. 
 

 

27. In the marketplace, bond prices tend to fluctuate directly with changes in interest rates. 
 

 

28. Convertible bonds can be exchanged for common stock at the option of the company. 
 

 

29. In a long-term capital lease, the lessor views a portion of each lease payment as interest expense. 
 

 

30. Payments of pensions and other benefits to retired workers are recognized as expense in the period payment is made. 
 

 

 

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