BUSINESS ADMINISTRATION
BUSINESS MATHEMATICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Detailed explanation-1: -Current liabilities are due within a year and are often paid for using current assets. Non-current liabilities are due in more than one year and most often include debt repayments and deferred payments.
Detailed explanation-2: -Current Liabilities: are the obligations due for payment or settlement within the next 12 months. Non – Current Liabilities: are long term obligations, including debts of the business, which are not due for payment within the next financial year.
Detailed explanation-3: -Which of the following statements is true about current liabilities? Current liabilities are obligations payable within one year or within the firm’s operating cycle, whichever is longer.
Detailed explanation-4: -Liabilities can be classified into three categories: current, non-current and contingent.
Detailed explanation-5: -Examples of current liabilities include accounts payables, short-term debt, accrued expenses, and dividends payable.