The Following Items Are Taken from the Financial Statements of Gray's

question 48

Multiple Choice

The following items are taken from the financial statements of Gray's Postal Service for the year ending December 31, 2021: What are total current liabilities at December 31, 2021?

• A)$18,000
• B)$70,000
• C)$88,000
• D)$120,000

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Definitions:

Share Capital

The funds raised by a company through the issuance of shares to investors.

Deferred Tax Liability

A tax obligation that a company owes but does not have to pay until a future date, usually resulting from differences in accounting methods for tax and financial reporting purposes.

Asset Revaluation

The upward or downward adjustment of the book value of an asset to properly reflect its current market value.

Profits

The financial gain obtained when revenues generated from business activities exceed the expenses and costs associated with those activities.