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A liability is something you owe: a debt or other account you are responsible to pay. In accounting, liabilities are all the debits of an organization and assets are the credits. Figuratively we talk about employees or members of an organization in this way: "She is a real asset to this company" means she produces more than she costs. "We should fire him. He's a liability." means he costs more than he produces. In the law of tort, particularly negligence, liability is the state or act of being responsible to pay for the damages someone has incurred.
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Definition of accounting equation?
Assets = Liabilities + Equity
If current liabilities are 7714 and total liabilities are 18187 what is the ratio of current liabilities to total liabilities?
Current Liabilities to Total Liabilities Ratio = Current Liabilities / Total Liabilities Current Liabilities to Total Liabilities Ratio = 7714 / 18187 Current Liabilities to Total Liabilities Ratio = 0.42 or 42%
What are the classification in the liabilities?
liabilities can be classified as short term liabilities and long term liabilities
Do Debts owed by a business are referred to as?
Liabilities Liabilities
Is accrued expenses payable is an asset or liabilities?
Liabilities
Is shareholders equity include in the total liability?
By definition, the answer is no.Total liabilities include current and long term liabilities and the sum is "Total Liabilities".Looking at the definition below, the difference between "total liabilities" and "total assets" results in the SH equity.Shareholders' Equity = Total Assets - Total Liabilities
What is the key element of long term liabilities?
Long term liabilities by definition are for longer durations!
Definition of accounting equation?
Assets = Liabilities + Equity
Definition of balance sheet?
A statement shows the true picture of Assets and Liabilities.
If current liabilities are 7714 and total liabilities are 18187 what is the ratio of current liabilities to total liabilities?
Current Liabilities to Total Liabilities Ratio = Current Liabilities / Total Liabilities Current Liabilities to Total Liabilities Ratio = 7714 / 18187 Current Liabilities to Total Liabilities Ratio = 0.42 or 42%
What are differences between assets liabilities capital income and expenses?
Definition of Asset: a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit. Definition of Liabilities: A company's legal debts or obligations that arise during the course of business operations. Liabilities are settled over time through the transfer of economic benefits including money, goods or services. Definition of capital: 1. Financial assets or the financial value of assets, such as cash. 2. The factories, machinery and equipment owned by a business.
What are the classification in the liabilities?
liabilities can be classified as short term liabilities and long term liabilities
Balance sheet statement definition?
bal sheet is a statement which shows assets and liabilities of the co./firm or any organisation with profit or losses
What is definition of solvent?
Having assets in excess of liabilities; able to pay one's debts.
Two common subgroups for liabilities on a classified balance sheet are?
current liabilities and long term liabilities
Do Debts owed by a business are referred to as?
Liabilities Liabilities
Is accrued expenses payable is an asset or liabilities?
Liabilities
