The following points highlight the six main types of current liabilities. The types are: 1. Accounts Payable 2. Bills (Notes) Payable 3. Interest Payable 4. Wages and Salary Payable 5. Current Portion of Long-Term Debt 6. Advance from Customers. Current Liabilities: Type # 1. Accounts Payable: Trade accounts payable are debts owed to trade creditors. They normally arise from the [...]
In this article we will discuss about Liabilities:- 1. Meaning and Nature of Liabilities 2. Characteristics of Liabilities 3. Measurement 4. Classification 5. Equity and Liabilities. Meaning and Nature of Liabilities: Liabilities may he defined as currently existing obligations which a business enterprise intends to meet at some time in future. Such obligations arise from legal or managerial considerations and [...]
This article throws light upon the two main classification of the liabilities of a cost auditor. The classifications are: 1. Contractual Liability 2. Criminal Liability. Cost Auditor’s Liabilities: Classification # 1. Contractual Liability: The cost auditor is liable for non-fulfilment of the terms and conditions of an agreement between him and the company who appoints him e.g. voluntary cost audit. [...]