All of the Following Statements Regarding Liabilities Are True Except

question 164

Multiple Choice

All of the following statements regarding liabilities are true except:

• A)A liability is a probable future payment of assets or services.
• B)Potential future wages to be paid to employees should be recorded as liabilities.
• C)For a liability to be reported,it must be a present obligation that results from a past transaction or event,and requires a future payment of assets or services.
• D)Information about liabilities is more useful when the balance sheet identifies them as either current or long term.
• E)Liabilities can involve uncertainty in whom to pay.

---

Definitions:

Language Development

The process by which children come to understand and communicate language during early childhood.

Deaf Parents

Deaf parents are individuals with hearing loss who have children; they might use sign language and other visual communication methods to interact with their family and others.

Maturation

The process by which individuals grow and develop physically, mentally, and emotionally over time, influenced by genetic and environmental factors.

Human Brain

The central organ of the human nervous system, responsible for processing sensory information, regulating bodily functions, and enabling thought, emotion, and memory.