Liabilities are generally classified on a statement of financial position as
A)small liabilities and large liabilities.
B)present liabilities and future liabilities.
C)tangible liabilities and intangible liabilities.
D)current liabilities and non-current liabilities.

Question

Quizplus · Accepted Answer

Liabilities are classified on a statement of financial position (balance sheet) as current liabilities and non-current liabilities. Current liabilities are obligations due within one year or the operating cycle, whichever is longer, while non-current liabilities are obligations due beyond one year or the operating cycle.

Liabilities Are Generally Classified on a Statement of Financial Position