When current liabilities are presented under IFRS, they are generally shown
A)alphabetically.
B)in order of magnitude.
C)in order of the dates they become due.
D)in order of liquidity.

Question

Quizplus · Accepted Answer

Under IFRS, current liabilities are generally presented in order of liquidity, which means that those liabilities that are due to be settled earliest are presented first, followed by those that are due later. This presentation helps users of financial statements to understand the company's ability to meet its short-term obligations.

When Current Liabilities Are Presented Under IFRS, They Are Generally