what does 'liabilities' mean in accounting terms?

Question

If someone asks you to list your liabilities, what does that mean?

Answer 1

Liabilities are the opposite of "assets".

Assets are anything that you have that can be converted into cash (land and property are assets, because you can sell them for cash).

Liabilities refers to any cash or item of value that somebody else has a proper cash claim on. (Commonly, if I buy parts from a supplier but pay for the parts some time later, the cash value of those parts is a liability until I've paid the debt off).

When considering accounting, there are three elements: assets, liabilities, and equity. Assets are all the things of value a company has (cash, land, debt they own -- not issued, etc.) and liabilities offset those assets (debt they've issued, primarily), and what remains is equity, which is the value that belongs exclusively to the shareholders of the company.

Answer 2

They are asking you to list all indebtedness meaning all accounts or debt contracts which you or your company signed. A liabilility is something owed in the future such as you use a cresdit card
or you buy goods from a wholesaler or manufacter on credit terms. This amount then becomes your (or your firm's) obligation to payoff--usually with a known stated interest rate.
The gimmick many corporations have been attempting to
use in order to deceive investors, auditors and creditors is
to try to list these liabilities as off balance sheet liabilities so that they can borrow even more and look as if they are better off
financially than they really are currently. The accounting
association and the U.S. Securities and Exchange Commission
are pursuing this practice in their FASB Guidlines and Rulings.

Answer 3

What Does Liabilities Mean

Answer 4

Liabilities are the amounts that you owe.
They are normally divided into:
Current Liabilities (due within one year) eg Trade creditors, accruals, VAT, PAYE, overdraft and any loan and Hire Purchase repayments due within 12 months.
Long Term Liabilities (Over one year) eg Long term portion of loans and Hire Purchase.
The split enables a businesses liquidity to be assessed by comparing its current assets and current liabilities.

Answer 5

Liabilities is basically anything owed to someone else. Some sample liabilities include your mortgage, loans and long term debts.

Answer 6

Liabilities are $$$ that need to be paid out from you.

Answer 7

IF YOU OWE YOU ARE A LIABILITY TO WHOM YOU OWE MONEY TO.

WHICH MUST BE WHY WOMEN INVENTED MARRIAGE

Answer 8

if u want to know properly kindly verify icsi study material it will help u out.

just for reference verify 12th std book of commerce group.