Estimated unpaid obligations for services or benefits that have been received prior to the balance sheet date are classified as
A)accounts payable.
B)accrued liabilities.
C)miscellaneous assets.
D)unearned revenues.

Question

Quizplus · Accepted Answer

Estimated unpaid obligations for services or benefits that have been received prior to the balance sheet date are classified as accrued liabilities. This is because accrued liabilities represent expenses that have been incurred but not yet paid for or recorded in the accounting records. Examples of accrued liabilities include wages payable, taxes payable, interest payable, and utilities payable. Accounts payable represent amounts owed to vendors for goods or services that have been received but not yet paid for. Miscellaneous assets and unearned revenues are not applicable in this context.

Estimated Unpaid Obligations for Services or Benefits That Have Been