Which of the following is NOT a characteristic of liabilities?（ ）
A: Obligations do not include legal commitment obligations.
B: Liabilities arise from transactions or events that have already happened.
C: Most liabilities involve an obligation to transfer assets in the future.
D: Business is full of uncertainty.
A: Obligations do not include legal commitment obligations.
B: Liabilities arise from transactions or events that have already happened.
C: Most liabilities involve an obligation to transfer assets in the future.
D: Business is full of uncertainty.
举一反三
- Uncertainties such as natural disasters: A: Are not contingent liabilities because they are future events not arising from past transactions or events. B: Are contingent liabilities because they are future events arising from past transactions or events. C: Should be disclosed because of their usefulness to financial statements. D: Are estimated liabilities because the amounts are uncertain. E: Arise out of transactions such as debt guarantees.
- Owners' equity is measured by subtracting liabilities from assets. This sentence can be described as the following equation ______. A: ASSETS - LIABILITIES + OWNER'S EQUITY B: ASSETS - LIABILITIES = OWNER'S EQUITY C: OWNER'S EQUITY = ASSETS + LIABILITIES D: OWNER'S EQUITY = LIABILITIES - ASSETS
- Which statement regarding the liabilities and owners’ equity section of balance sheet is False? A: Payment of Dividend Payable eliminates both the assets and the owners’ equity. B: Liabilities are debts or obligations that must be discharged in money or services in the future. C: Owners’ equity is a residual claim to the remaining assets after discharge of debts. D: Balance sheet of corporations should separate Capital Stock and Retained Earnings
- Which of the following are correct descriptions of Current ratio A: Current assets-current liabilities B: Current assets/current liabilities C: How much of the total current assets is financed by current liabilities D: Inventory days +receivable days-payable days
- Liabilities are ______. A: money borrowed from banks B: money received from creditors C: "outsider claims", which are economic obligations, debts payable to outsiders D: notes receivable