Which of the Following Does Not Represent a Liability

question 155

Multiple Choice

Which of the following does not represent a liability?

• A)An obligation for estimated income taxes payable
• B)Interest that has accrued on a bank loan
• C)An obligation to pay for goods purchased,payable one year after purchase
• D)An obligation for future purchases of goods

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Definitions:

Pure Monopolist

A market participant who exclusively controls the supply of a particular good or service, without competition or substitute products.

ATC

Average Total Cost, which represents the per-unit cost of production, including both fixed and variable costs.

Economic Profit

Profit calculated by subtracting both explicit and implicit costs from total revenue, reflecting the true economic performance of a company.

Profit-Maximizing

Achieving the highest possible profit through the management of resources, production outputs, and pricing strategies, within the constraints of market conditions.