Current Liabilities Fall into Two Categories Which Are Referred to As

question 88

Multiple Choice

Current liabilities fall into two categories which are referred to as:

• A)liabilities of a known amount and estimated liabilities.
• B)contingent liabilities and noncontingent liabilities.
• C)contingent liabilities and contra-liabilities.
• D)unearned liabilities and accrued liabilities.

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Definitions:

Goods or Services

The outcome of business activities which can be either physical products (goods) or intangible offerings (services) provided to customers.

Process

A series of actions or steps taken in order to achieve a particular end.

Specific Sequence

An exact order in which related events or processes occur.

Inputs and Outputs

In a system or process, inputs are the resources used, while outputs are the products or services generated.