Which of the Following Is a Characteristic of a Current

question 203

Multiple Choice

Which of the following is a characteristic of a current liability?

• A) It creates a present obligation for future payment of cash or services.
• B) It cannot be settled with services.
• C) It is an avoidable obligation.
• D) It occurs because of a future transaction or event.

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Definitions:

FTC Commissioners

FTC Commissioners are officials appointed to the Federal Trade Commission, responsible for enforcing antitrust and consumer protection laws in the United States.

Year Terms

Fixed periods of time, often used in contracts and employment agreements, that are designated in terms of years.

Federal Trade Commission Act

A federal law established in 1914 that created the Federal Trade Commission (FTC) and provided it with the power to prevent unfair competition methods and unfair or deceptive acts affecting commerce.

Food and Drug Administration

A federal agency of the United States responsible for protecting and promoting public health through the control and supervision of food safety, tobacco products, dietary supplements, prescription and over-the-counter medications, vaccines, biopharmaceuticals, blood transfusions, medical devices, electromagnetic radiation emitting devices, and veterinary products.