The common characteristic of both assets and liabilities is that they both
A)provide an economic benefit.
B)result from a past transaction or event.
C)represent a present responsibility.
D)represent contractual or other rights.

Question

Quizplus · Accepted Answer

Both assets and liabilities result from a past transaction or event. Assets are acquired in previous transactions or events, while liabilities arise from past obligations or commitments. The other options - provide an economic benefit (A), represent a present responsibility (C), and represent contractual or other rights (D) - do not apply to both assets and liabilities equally.

The Common Characteristic of Both Assets and Liabilities Is That