Outstanding expenses are considered as a/an for the business entity.

asset

No worries! We‘ve got your back. Try BYJU‘S free classes today!

liability

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

income

No worries! We‘ve got your back. Try BYJU‘S free classes today!

expense

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B liability
Outstanding expenses are considered as a liability for the business entity as there is an obligation to pay the amount.

Suggest Corrections

Similar questions

Q. is/are considered as assets for a business entity.

Q. Outstanding expense is ____________ for business.

___ represents revenue, expenses and financial result of a business entity.

Q. The cost of a small calculator is accounted as an expense and not shown as an asset in a financial statement of a business entity due to __________________.

Which concept is the reason behind accounting the cost of a small calculator as an expense and not as an asset in financial statements of a business entity?

Join BYJU'S Learning Program

Outstanding expenses are considered as a/an for the business entity.

The correct option is B liabilityOutstanding expenses are considered as a liability for the business entity as there is an obligation to pay the amount.

The correct option is B liability
Outstanding expenses are considered as a liability for the business entity as there is an obligation to pay the amount.