Question

4) All of the following are true of known liabilities except:A) Include accounts payable, notes payable, and payroll.B) Are obligations set by agreements, contracts, or laws.C) Are measurable.D) Are definitely determinable.E) May depend on some future event occurring.

Answer 1

Answer: E) May depend on some future event occurring. It is not a characteristic of known liabilities.

Explanation:  Unknown or uncertain liabilities are those whose existence depends on the occurrence of a future event.

Known liabilities are definitely determinable and measurable.