Which of the Following Best Describes an Accrued Liability

question 105

Multiple Choice

Which of the following best describes an accrued liability?

• A)A liability whose amount can only be estimated.
• B)A liability whose recording has not been triggered by an external event.
• C)A liability whose related expense is not recognized until the next period.
• D)A liability whose recording was triggered by an internal event.

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Definitions:

Philanthropic

Pertaining to the act of donating money, goods, time, or effort to support a charitable cause, often without expecting anything in return.

Legal

Pertains to the system of rules that are created and enforced through social or governmental institutions to regulate behavior, ensuring equity, justice, and fairness in society.

Corporate Social Responsibility

A business model where companies integrate social and environmental concerns in their operations and interactions with stakeholders.

Stakeholder Responsibility

The obligation of an organization to act in ways that benefit its stakeholders, including customers, employees, and the wider community.