Concept explainers
(1)
Liabilities
Liabilities are an obligation of the business to pay to the creditors in future for the goods and services purchased on account or any for other financial benefit received. It can be current liabilities or a non-current liabilities depending upon the time period in which it is paid.
Current liability
Current liability is an obligation that the companies need to pay from the remaining current assets or creation of other current liabilities within a fiscal year or the operating cycle whichever is longer.
Long-term liabilities are obligations that the company needs to pay after at least one year or more. Long term liabilities are otherwise called as long-term debt. Examples of long-term liabilities are long-term bonds, long-term notes payable and more.
To Identify: the current liability and long-term liability which are listed in Incorporation S December 31, 2017.
(2)
To Prepare: The liabilities section of
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Chapter 10 Solutions
Financial Accounting: Tools for Business Decision Making, 8th Edition
- provide correct answer is bestarrow_forwardWhat is net sales revenue?arrow_forwardRichmond Corporation's 2021 balance sheet reported net fixed assets of $15,725,600 and accumulated depreciation of ($4,875,200). Richmond Corporation's 2022 balance sheet reported net fixed assets of $20,910,300 and accumulated depreciation of ($6,430,700). What was the change in gross fixed assets for Richmond Corporation between 2021 and 2022? answerarrow_forward
- Intermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage LearningPrinciples of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax College
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