Chapter 11 Know the difference between a long-term and short-term Liability. Definition??? What is a Contingent Liability? Know the Times Interest Earned ratio. If you sign a note on Dec 1st, what is the interest accrued on Dec 31st? You are given principle, interest rate, and time for this one. You have to figure out how much interest just for 1 month. Calculate the FICA rate (OASDI and Medicare) for an employee. % rates are given along with his pay. Calculate the net pay for an employee. Remember what I told you about FUTA and SUTA? Now caluculate the FUTA and SUTA on the first 7,000