The current portion of long-term debt should

be paid immediately.

be reclassified as a current liability.

not be separated from the long-term portion of debt.

be classified as a long-term liability.

The Mayer and Rodin partnership agreement stipulates that profits and losses will be shared equally after salary allowances of $406000 for Mayer and $197000 for Rodin. At the beginning of the year, Mayers Capital account had a balance of $793000, while Rodins ' Capital account had a balance of $709000. Net income for the year was $502000. The balance of Rodins Capital account at the end of the year after closing is

$855500.

$906000.

$207000.

$956500.

The partnership of Bher and Dhillips reports net income of $119400. The partners share equally in income and losses. The entry to record the partners' share of net income will include a

credit to Dhillips, Drawing for $59700.

credit to Income Summary for $119400.

debit to Dhillips, Capital for $59700.

credit to Bher, Capital for $59700.

Accounting for treasury stock is done by the

LIFO method.

market method.

cost method.

lower of cost or market method.

When common stock is issued for services or non-cash assets, cost should be

only the fair value of the consideration received.

the book value of the common stock issued.

only the fair value of the consideration given up.

either the fair value of the consideration given up or the consideration received, whichever is more clearly evident.

Each of the following is reported for common stock except the

par value.

shares issued.

liquidation value.

shares outstanding.

A prior period adjustment that corrects income of a prior period requires that an entry be made to

a current year revenue or expense account.

the retained earnings account.

an asset account.

an income statement account.

Prior period adjustments are reported

on the current year's income statement.

on the current year's balance sheet.

on the current year's retained earnings statement.

in the footnotes of the current year's financial statements.