________ Are Liabilities for Services Received for Which Payment Has

question 121

Multiple Choice

________ are liabilities for services received for which payment has yet to be made. The most common accounts are taxes and wages.

• A) Notes payable
• B) Accruals
• C) Accounts payable
• D) Accounts receivable

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Definitions:

Direct Materials

Raw materials that are directly traceable to the manufacturing or production of specific goods or products.

Job Order Cost Accounting Systems

An accounting system used to accumulate costs by specific jobs, useful in industries where different customers require different products or services.

Process Costing

An accounting methodology used in manufacturing where costs are assigned to products based on the processes they go through in the production line, suitable for homogeneous products.

Lawn Fertilizer Manufacturer

A company that produces chemical or organic substances to promote the growth and health of grass.