Asked by
Ricky Castillo
on Oct 15, 2024
Verified
Sales taxes payable is reported as a(n) :
A) Estimated liability.
B) Contingent liability.
C) Current liability.
D) Business expense.
E) Long-term asset.
Sales Taxes Payable
A liability account that represents the amount of sales tax collected from customers by a business, which is owed to the government.
Current Liability
Financial obligations that a company is required to pay within one year.
- Achieve a profound understanding of liabilities, such as known, estimated, and contingent, together with the recognition guidelines for each.
Verified Answer
PM
Learning Objectives
- Achieve a profound understanding of liabilities, such as known, estimated, and contingent, together with the recognition guidelines for each.