Which of the following is an example of an accrued liability?
A)Accounts payable.
B)Notes payable.
C)Prepaid insurance.
D)Interest payable.

Question

Quizplus · Accepted Answer

An accrued liability refers to an expense that has been incurred but not yet paid. Interest payable is an example of an accrued liability because it represents the amount of interest that has been incurred on a loan but has not yet been paid. Options A and B refer to accounts and notes payable, respectively, which are examples of current liabilities but are not necessarily accrued. Option C, prepaid insurance, is a type of prepaid expense and not a liability.

Which of the Following Is an Example of an Accrued