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on a long-term basis and demonstrates an ability to complete the
refinancing.

b. Cash dividends should be recorded as a liability when they
are declared by the board of directors.

c. Under the cash basis method, warranty costs are charged to
expense as they are paid.

d. FICA taxes withheld from employees' payroll checks should
never be recorded as a liability since the employer will
eventually remit the amounts withheld to the appropriate taxing
authority.

47. Which of the following is not a correct statement about
sales taxes?