1. 22) A note payable which is due in more than 12 months is a long-term liability. (True/False)

1. 23) To record any liability, the payment must be probable, reasonably estimated and payable in cash. (True/False)

1. 24) Kentucky Company does not have any potentially dilutive securities. In all cases, Kentucky should disclose only one computation for basic earnings per share. (True/False)

1. 25) Nevada Company has convertible preferred stock outstanding at the end of the period. Preferred stock dividends should not be deducted in arriving at basic and diluted earnings per share. (True/False)