1) If a notes payable is reclassified from a long-term liability to a short-term liability, then

A	The amount of total liabilities stays the same
B	The total liabilities increase
C	Current liabilities decrease
D	Long-term liabilities decrease

2) On October 1, 2025, Conway, Inc. borrowed $300,000 by signing a nine-month, 6% note payable. Interest was accrued on December 31, 2025. What is the journal entry on July 1, 2026, the date the note was paid?

3) Jackson Company pays the collected sales tax of $700 to the state. The journal entry would be:

4) Angie's gross pay for the week is $980. Her deduction for federal income tax is based on a rate of 20%. She has voluntary deduction of $240. Her year-to-date pay is under the limit for OASDI. What is the amount of FICA-Medicare Tax deducted from her pay? (Assume a FICA-OASDI Tax of 6.2% and FICA-Medicare Tax of 1.45%. Do not round any intermediate calculations, and round your final answer to the nearest cent.)

A	$60.76
B	$196.00
C	$270.97
D	$14.21

5) On November 1, 2025 Ashton, Inc. purchased merchandise inventory for $35,000 by signing a note payable. The note is for 6 months and bears interest at a rate of 8%. The journal entry for the purchase of the merchandise using a perpetual inventory system would be: