Which of the following are current liabilities? (I) Creditors (II) Unexpired Insurance (III) Bank overdraft (IV) Rent due
A
I, II and III
No worries! We‘ve got your back. Try BYJU‘S free classes today!
B
II,III and IV
No worries! We‘ve got your back. Try BYJU‘S free classes today!
C
I,III and IV
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
D
All of them
No worries! We‘ve got your back. Try BYJU‘S free classes today!
Open in App
Solution
The correct option is D I,III and IV Current Liabilities are those which need to be repaid within a short period of time, this may be a year or a business cycle. Current Liabilities are arise out of normal business operations. Following are the examples of current liabilities:
Sundry Creditors- Suppliers who provides goods or services on credit
Bank Overdraft- A temporary facility provided by the bank
Rent Due- Outstanding expenses against which services are already taken.