Debts owed by a business are referred to as
A) accounts receivables
B) assets
C) owner's equity
D) liabilities

Question

Quizplus · Accepted Answer

Debts owed by a business are liabilities, as they represent an obligation to pay back borrowed funds. Accounts receivables are monies owed to the company by its customers, assets are something owned by the business (such as property, equipment or inventory), and owner's equity is the portion of the company reserved for the owners.

Debts Owed by a Business Are Referred to as