Makayla is a corporate CPA working on a new budget.When she lists the company's liabilities,which of the following will she include?
A) Employees' wages and salaries
B) Owners' equity
C) Marketable securities
D) Computer software

Question

Quizplus · Accepted Answer

Liabilities refer to a company's debts or obligations. Employees' wages and salaries would be included as a liability because the company owes them payment for their services rendered. Owners' equity is a type of financing for the company and is not a liability. Marketable securities are assets that can be easily sold or traded, and are not a liability. Computer software is also an asset and not a liability, unless the company has not paid for the software, in which case it would be considered a liability.

Makayla Is a Corporate CPA Working on a New Budget