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Question : ---------------------- are the liabilities payable within 12 months from the date of the Balance Sheet or within the period of the Operating Cycle.

Option 1: Long term liabilities 

Option 2: Current liabilities 

Option 3: Debentures 

Option 4: None of the above 

 


Team Careers360 21st Jan, 2024
Answer (1)
Team Careers360 24th Jan, 2024

Correct Answer: Current liabilities 


Solution : Answer = Current liabilities 

Current liabilities are obligations payable within 12 months from the balance sheet date or the operating cycle. Long-term liabilities, like debentures, extend beyond this timeframe and are not considered current liabilities.
Hence, the correct option is 2.

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