Which of the Following Items Would Be Recognised as a Liability

question 48

Multiple Choice

Which of the following items would be recognised as a liability?

• A) advances from customers for goods and services to be provided next year
• B) accumulated depreciation
• C) the estimated cost of maintenance of plant deferred from this year to next year
• D) interest earned but not yet received.

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Definitions:

Illness

A state of poor health, characterized by symptoms or diseases, affecting an individual’s body or mind.

Socially Constructed

A concept or perception that is created and developed by society; signifies that the understanding of certain aspects depends on societal, cultural, and historical contexts.

Teacher Expectancy Effect

The effect of a teacher’s expectations on a student’s actual performance, independent of the student’s ability.

Self-fulfilling Prophecy

A belief or expectation that an individual or group holds about a future event that manifests because the individual or group acts in a way that supports the belief.