Liabilities Defined and ClassifiedDefined as probable debts or obligations of the entity that result from past transactions, which will be paid with assets or services.Maturity = 1 year or lessMaturity > 1 yearCurrent LiabilitiesNoncurrent Liabilities
Liabilities Defined and ClassifiedLiabilities are measured at their current cash equivalent(the amount a creditor would accept to cancel the debt) at the time incurred.
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Current LiabilitiesAccount NameAlso CalledDefinitionAccounts PayableTrade Accounts PayableObligations to pay for goods and services used in the basic operating activities of the business.Accrued LiabilitiesAccrued ExpensesObligations related to expenses that have been incurred, but will not be paid until the subsequent period.Notes PayableN/AObligations due supported by a formal written contract.Deferred RevenuesUnearned RevenuesObligations arising when cash is received prior to the related revenue being earned.