Which of the following statements best describes a liability?
A. Any obligation, whether enforceable or not, is a liability.
B. A liability is an enforceable economic burden or obligation.
C. A liability is a legal economic benefit.
D. Deferred income taxes are always shown as liabilities.
Answer:B
Which of the following statements best describes a liability?
A. Any obligation, whether enforceable or not, is a liability. B. A liability is an enforceable economic burden or obligation. C. A liability is a legal economic benefit. D. Deferred income taxes are always shown as liabilities.