Liabilities (In the Strict Sense)are Equivalent To

question 3

Multiple Choice

Liabilities (in the strict sense) are equivalent to:

• A) Provisions.
• B) Accrued liabilities.
• C) Contingent liabilities.
• D) None of these

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Definitions:

Cash Dividend

A payment made by a corporation to its shareholders, usually as a distribution of profits.

Indirect Method

A cash flow statement presentation technique where net income is adjusted for changes in balance sheet accounts to calculate operating cash flow.

Indirect Method

A technique used in cash flow statement preparation where net income is adjusted for non-cash transactions to calculate operating cash flows.

Cash Dividends

Payments made by a corporation to its shareholder members from earnings, typically in the form of cash.