Question

In: Finance

A delivery company is creating a balance sheet.


A delivery company is creating a balance sheet. Which of the following would most likely be considered a short-term liability on this balance sheet? 

  • the depreciation over the last year in the value of the vehicles owned by the company 

  • revenue received for the delivery of items that have not yet been delivered 

  • prepaid rent on the offices occupied by the company 

  • a loan which must paid back in two years

Solutions

Expert Solution

Liabilities expected to be repaid or settled within 1 year from end of the balance sheet will be considered as short-term liabilities or current liabilities.

Hence, correct option is “Revenue received for the delivery of items that have not yet been delivered”

jeff jeffy answered 2 years ago
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