ECONOMICS

Detailed explanation-1: -Answer. => Obligations (amounts owed) are reported on the balance sheet and are referred to as . Obligations (amounts owed) are reported on the balance sheet and are referred to as liabilities.

Detailed explanation-2: -One is listed on a company’s balance sheet, and the other is listed on the company’s income statement. Expenses are the costs of a company’s operation, while liabilities are the obligations and debts a company owes.

Detailed explanation-3: -Liabilities are a company’s obligations (amounts owed). Their amounts appear on the company’s balance sheet if they: Are owed as the result of a past transaction. Are owed as of the balance sheet date. Include money received before it has been earned.

Detailed explanation-4: -Liabilities on are debts or obligations of a company. It is the amount that the company owes to its creditors. Liabilities can be divided into current liabilities and long term liabilities. Another important head in the balance sheet is shareholder or owner’s equity.

Detailed explanation-5: -A liability is typically an amount owed by a company to a supplier, bank, lender or other provider of goods, services or loans. Liabilities can be listed under accounts payable, and are credited in the double-entry bookkeeping method of managing accounts.