The accounts that represent resources owed to creditors are called:
A)Assets.
B)Liabilities.
C)Dividends.
D)Stockholders' equity.

Question

Quizplus · Accepted Answer

Liabilities are the accounts that represent resources owed to creditors. Assets represent resources owned by the company, dividends are distributions of earnings to shareholders, and stockholders' equity represents the residual interest in the assets of the company after deducting liabilities.

The Accounts That Represent Resources Owed to Creditors Are Called