Accounting 2 - Midterms Terms

• Gross earnings - Total compensation earned by an employee.
• Notes payable - An obligation in the form of a written note.
• Provision - A liability of uncertain timing or amount.
• Working capital - A measure computed as current assets minus current liabilities.
• Current ratio - A measure of a company’s liquidity.
• Current liability - A debt that a company expects to pay within one year or the operating cycle.
• Employee payroll deductions - Amounts withheld from gross earnings to determine the amount of a paycheck.
• Social Security taxes - Benefits provided by a government which are funded from taxes assessed on both the

  employer and employees.
• Current or Non Current Liabilities

  A) Current Liabilities

  B) Non Current Liabilities

  C) Current Liabilities

  D) Current Liabilities

  E) Non Current Liabilities