Which of the following is a true statement regarding the treatment of accounts payable,sales tax payable,and unearned revenues?
A)Both GAAP and IFRS treat these accounts as estimated liabilities.
B)GAAP treats them as estimated liabilities,while IFRS treats these accounts as contingent liabilities.
C)IFRS treats them as estimated liabilities,while GAAP treats theses accounts as contingent liabilities.
D)Both GAAP and IFRS treat these accounts as known liabilities.
E)IFRS treats them as known liabilities,while GAAP treats these accounts as contingent liabilities.

Question

Quizplus · Accepted Answer

Both GAAP and IFRS treat accounts payable, sales tax payable, and unearned revenues as known liabilities because they are obligations that are certain in amount and timing.

Which of the Following Is a True Statement Regarding the Treatment