Current liabilities are usually associated with:
A)purchase of a building.
B)purchase of equipment.
C)payment of wages owed.
D)both A and B.

Question

Quizplus · Accepted Answer

Current liabilities are debts or obligations that are due and payable within one year or within a normal operating cycle of a business. Payment of wages owed is an example of a current liability as it is a debt that must be settled within a short period of time. Purchase of a building or equipment, on the other hand, are long-term investments and are not typically considered current liabilities.

Current Liabilities Are Usually Associated With