Final answer:
Bonds Payable is not a current liability because it is a long-term financial obligation, while FICA Taxes Payable, Accounts Payable, and FUTA/SUTA Taxes Payable are current liabilities as they are typically due within a year. Option D
Step-by-step explanation:
The correct answer to the student's question is Bonds Payable. Current liabilities refer to a company's financial obligations that are due within one year. Examples of current liabilities include FICA Taxes Payable, Accounts Payable, and FUTA/SUTA Taxes Payable.
These are all expenses that typically need to be settled within the company's operating cycle or one year. On the other hand, Bonds Payable is generally a long-term liability as bonds are usually due over a period longer than one year from the balance sheet date. Therefore, Bonds Payable is not considered a current liability.
While discussing these concepts, it is important to understand some of the context behind them, like in the case of FICA Taxes Payable.
As mentioned in the LibreTexts reference, government obligations such as the FICA taxes are used to fund specific expenditures and are part of a broader financial ecosystem; however, for accounting purposes and on the company's balance sheet, FICA taxes are indeed classified as a current liability. Option D