Which of the following are FALSE? Under which of the following conditions does the equipment lease qualify for capital lease accounting? All of the following are the general principles underlying the valuation of liabilities except: Which kind of dividends have an interest-bearing promise to pay dividends?  

1. Which of the following are FALSE?

Under GAAP, cash payments for interest may be shown as either operating or financing cash flows on the cash flow statement.

2. Under which of the following conditions does the equipment lease qualify for capital lease accounting?

The lease term is equal to or greater than 75% of the asset's economic life.

3. All of the following are the general principles underlying the valuation of liabilities except:

The fair value of a liability cannot differ from the amount appearing on the balance sheet, particularly for long-term debt.

4. Which kind of dividends have an interest-bearing promise to pay dividends?

scrip dividend