Which of the following is not considered to be a liability?
A) Wages payable.
B) Accounts payable.
C) Notes payable.
D) Cost of goods sold.

Name: Which of the following is not considered to be a liability? A) Wages payable. B) Accounts payable. C) Notes payable. D) Cost of goods sold.
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Question

Which of the following is not considered to be a liability? 
A) Wages payable.
B) Accounts payable.
C) Notes payable.
D) Cost of goods sold.

Quizplus · Accepted Answer

Cost of goods sold is an expense, not a liability. Liabilities are obligations the company needs to settle in the future, while expenses are costs incurred in the process of earning revenue.

Which of the Following Is Not Considered to Be a Liability