All the following current liabilities normally vary directly with sales EXCEPT ______________.
A) accounts payable
B) notes payable
C) accrued wages
D) accrued taxes

Question

Quizplus · Accepted Answer

Notes payable are typically fixed-rate debt agreements that do not vary directly with sales. Accounts payable, accrued wages, and accrued taxes are all current liabilities that increase as sales increase due to increased purchases, payroll expenses, and taxes owed.

All the Following Current Liabilities Normally Vary Directly with Sales