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Refer to the figure shown. This figure shows that
Liabilities
Financial obligations or debts owed by a business to another entity, payable in the future.
Owner's Equity
The residual interest or ownership claim in the assets of an entity after deducting its liabilities.
Balance Sheet
A financial statement that reports a company's assets, liabilities, and shareholders’ equity at a specific point in time.
Liabilities
Financial obligations or debts a company owes to external parties or entities.
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