Identify the Classifications of the Following Accounts as Either Current

question 151

Multiple Choice

Identify the classifications of the following accounts as either current or long-term liabilities for the December 31, 2016 balance sheet.
-An amount of money owed to a supplier based on the terms 2/20, n/40, for which no note was executed.

• A)Current liability
• B)Long-term liability

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Definitions:

Core Values

Fundamental beliefs of a person or organization. These guiding principles dictate behavior and can help people understand the difference between right and wrong.

Cross-functional Teams

Groups composed of members from different departments or areas of expertise working together towards a common goal, enhancing collaboration and innovation.

Financial Realities

The actual financial situation or conditions a business faces, influencing decisions and strategies.

Mission

A statement of the organization’s function in society that often identifies its customers, markets, products, and technologies. Often used interchangeably with vision.