6) Liabilities that are due within one year (or the company's operating cycle if longer) are: A) Current assets. B) Current liabilities. C) Long-term liabilities. D) Operating cycle liabilities. E) Bills. 7) Amounts received in advance from customers for future products or services: A) Are revenues. B) Increase income. C) Are liabilities. D) Are not allowed under generally accepted accounting principles (GAAP). E) Require an outlay of cash in the future. 8) A contingent liability is: A) Always of a specific amount. B) A potential obligation that depends on a future event arising from a past transaction or event. C) An obligation that will never require a future payment. D) An obligation arising from the purchase of goods or services on credit. E) An obligation arising from a future event. 9) A company had interest expense of $6,600, income before interest expense and income taxes of $18,400, and net income of $8,800. The company's times interest earned ratio equals: A) 0.75. B) 0.36. C) 2.79. D) 1.33. E) 2.09