Which of the Following Is not a Current Liability on December

question 242

Multiple Choice

Which of the following is not a current liability on December 31 2021?

• A)A Note Payable due December 31 2022
• B)An Accounts Payable due January 31 2022
• C)A lawsuit judgment to be decided on January 10 2022
• D)Accrued salaries payable from 2021

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Definitions:

Liquidity

The ability of an asset to be quickly converted into cash or the ability of a company to meet its short-term financial obligations.

Federal Government

The national government of a federated state, which holds the authority to govern at a national level, possessing powers typically outlined in a constitution.

Stockholders

Individuals or entities that own shares in a corporation, granting them certain rights and interests in the company's performance and governance.

Long-Term Creditors

Individuals or institutions that lend money to an entity with repayment terms extending beyond one year.