Which Is Not a Characteristic of a Liability

question 98

Multiple Choice

Which is not a characteristic of a liability?

• A)There will be a probable future transfer or use of assets.
• B)There is little or no discretion to avoid the future sacrifice.
• C)The obligating transaction or event must have already happened.
• D)A legally enforceable claim must be present.

Learn the types of endorsements and their legal consequences.

Recognize the implications of forgery and liability in payment instruments.

Understand the characteristics and use of various payment and negotiable instruments.

Clarify the legal responsibilities of parties in cases of mistaken identity or payment discrepancies.

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Definitions:

Corporate Legislation

Laws and regulations that govern the formation, operation, and dissolution of corporations, including corporate governance, finances, and obligations to shareholders.

Corporate Capital

The financial resources that a company uses to fund its operations, growth, and investments.

Corporate Management

The administrative process involved in overseeing a corporation's operational and strategic directions, including decision-making by top executives and boards of directors.

Directors

Individuals appointed to oversee the activities and manage the affairs of a company.