Liabilities are classified on the statement of financial position as current or
A)deferred.
B)unearned.
C)non-current.
D)accrued.

Question

Quizplus · Accepted Answer

Liabilities are classified as either current or non-current (long-term) on the statement of financial position. Current liabilities are those that are due within one year or the normal operating cycle of the business, whichever is longer. Non-current liabilities are those that are due over a period of time greater than one year or the normal operating cycle. Deferred, unearned, and accrued liabilities are specific types of current or non-current liabilities.

Liabilities Are Classified on the Statement of Financial Position as Current