Question

Current liabilities are usually recorded in the accounting records and reported in financial statements at their: full maturity value. carrying value. face value. present value.

Answer 1

Answer: Option (A) is correct.

Explanation:

Current liabilities are the short term debt of the companies which have to paid within one year or within a normal operating cycle. Company normally settle their current liabilities by utilizing current assets, either cash or initiating another current liability. Current liabilities are usually recorded at their full maturity value. It includes accounts payable, short term debt, accrued liabilities, and many other similar debts.