What are Different types of Liabilities?
In accounting, companies record and manage liabilities as opposites to assets. Current liabilities and long-term liabilities are the two primary categories of business obligations, Bookkeeping for Consultants each with unique characteristics and implications for financial reporting. A liability can be defined as an obligation or debt owed by an individual, corporation, or government to another...
Read MoreUnderstanding Accounting Terms: Opening and Closing Balances
When a company first begins trading, every asset of the company must be valued and recorded. Vehicles, premises, hardware, office furniture, it all has to be included in the opening balance sheet as “assets” of the company. These may also be coupled with “liabilities”, or debts, if equipment has been purchased through bank loans or investments from other parties. Molly’s closing...
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