Question

Which of the following statements regarding liabilities is not true? Multiple Choice a) Liabilities can be for services rother then cash b)Liobilities are reported in the balance sheet for almost every business. c)Liabilities represent probable future sacrifices of benefits. d)Llobilites result from future tronsactions

Answer 1

Liabilities can result from both past and future transactions.

Step-by-step explanation:

In accounting, liabilities are obligations or debts that a business owes to its creditors. Based on the given options, the statement that is not true is option d) Liabilities result from future transactions. This statement is incorrect because liabilities can result from both past and future transactions. Liabilities can arise from past transactions, such as loans or purchases on credit, as well as from future obligations, such as wages to be paid to employees or warranties on products.

Answer 2

The correct statement regarding liabilities that is not true is that liabilities result from future transactions.

Step-by-step explanation:

The correct answer is d) Liabilities result from future transactions.

Liabilities represent the obligations or debts that a company owes to others. They can include both cash obligations and obligations for services or goods received. Liabilities are reported in the balance sheet for almost every business, as they represent the company's financial obligations.

Therefore, the statement that liabilities result from future transactions is not true. Liabilities result from past transactions where a company has received goods, services, or cash and has an obligation to repay or provide something in return in the future.