Which of the following is incorrect about liabilities according to the conceptual framework? "For an obligation to exist, it has to be a legal obligation." "An obligation may arise based on notions of equity and fairness, referred to as equitable obligation. " "An obligation may arise based on customary practices, published policies or particular statements, referred to as constructive obligation, if the entity has no practical ability to avoid complying." "For the liability definition to be met, there needs to be a present obligation."

An obligation can meet the definition of a liability even if the probability of a transfer of an economic resource is low. State any four examples that represents obligation to transfer an economic resource. (03)

1. Which of the following is not an aspect of the definition of a liability under the revised Conceptual Framework? a. Probable outflow of economic benefits d. Present obligation as a result of past events b. Transfer of an economic resource c. Obligation

Fill in the Blank QuestionFill in the blank question.A liability that exists from or is a legal obligation.

Which of the following statements about liabilities is incorrect? Question 2 Answer A liability is an obligation that currently exists A liability involves a transfer of an economic resource A liability is a future obligation A liability arises as a result of past events

Which of the following is not one of the essential characteristics for an item to be reported as a liability on the balance sheet? it is a present obligation of a particular entity it is payable to specifically identifiable payees it involves a future sacrifice of economic benefits it is reasonably measurable in terms of money