Debts which are payable in the course of a month are called _____________?
Correct answer: D. Current liabilities
- A. External liabilities
- B. Fixed liabilities
- C. Liquid Liabilities
- D. Current liabilities
Explanation
Amounts payable within the normal short-term operating period, such as within a month, are current liabilities. Fixed liabilities are generally payable over a longer period.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Accounting Principles
Accounting principles explain the rules used to record, classify and report business transactions. Coverage includes the accounting equation, double-entry system, accrual and cash bases, matching and prudence concepts, consistency, going concern, business entity, and the difference between capital and revenue items.
Practise Accounting Principles
351 free Accounting Principles MCQs from Accounting, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Accounting questions like this
Accounting is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Accounting Principles questions
The systems of accounting are _____________?
A sale of Rs. 50.000 to A was entered as a sale to B. This is an example of____________?
Goods sent on approval basis' have been recorded as 'Credit sales'. This is an example of____________?
Income earned but not received is called ____________?
The assets which come into existence upon the happening of a certain event are called__________?
The assets which have some market value are called ____________?