Current Liabilities Section of the Balance Sheet
The current liabilities section of the balance sheet identifies those amounts due to third parties within the current year. These include accounts payable, credit card accounts, accrued payroll, taxes, unearned revenue, deposits and those amounts due within one year related to debt instruments. In general they are listed from the most immediate amounts due to those amounts due over more accounting cycles but still due within one calendar year.
This article will describe each of the respective sub-sections of the current liabilities section of the balance sheet. In addition, this article will describe how to read the information in the various formats customarily found on various types of presented balance sheets.
The following sub-sections are categorized based on those accounts due within the accounting cycle (typically 30 days) and
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