Limitations of the statement of financial position
The statement of financial position has many limitations. One of these limitations is that it necessarily leaves out many items. Of greatest concern to investors are omitted liabilities. Explain why some liabilities are left off the statement of financial position, and how investors can identify and measure potentially omitted items.

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The Answer of Limitations of the statement of financial position
The statement of financial position has many limitations. One of these limitations is that it necessarily leaves out many items. Of greatest concern to investors are omitted liabilities. Explain why some liabilities are left off the statement of financial position, and how investors can identify and measure potentially omitted items.

Limitations of the Statement of Financial Position