Which of the Following Events Does Not Create a Liability

question 5

Multiple Choice

Which of the following events does not create a liability?

• A)Buying goods and services on credit
• B)Obtaining a short-term loan
• C)Issuing long-term debt
• D)Remitting sales tax to the government

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Definitions:

Phone Number

A sequence of digits assigned to a telephone line for the purpose of making and receiving calls.

Selective Attention

The process of focusing on a specific aspect of information while disregarding other perceivable information.

Short-term Memory

The component of the memory system that is responsible for holding small amounts of information in an active, readily available state for a short period.

Thorndike

An American psychologist known for his work in comparative psychology and the law of effect, related to learning.