4.Which of the following meets the criteria of a liability? How would the liabilities be valued?

Contractual promises to purchase natural gas for each of the next ten years.

Advances from customers for goods and services to be delivered later.

None of the other alternatives are correct

Damages the company must pay if a pending lawsuit is lost.

Fifteen-year cancellable lease on an office building.

10.If the contract rate on the bond is 13% and the market interest rate at the time of sale is 13.2%, then the bond will sell at:

Premium

Par

Cannot be sold in the market

Discount

Unable to answer with the data provided