Current Liabilities
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Financial Statements of a Sole Proprietorship without Adjustments
MS: Liabiliti Semasa · EN: Current Liabilities · ZH: 流动负债
Meaning
Current liabilities are debts or obligations of the business that must be settled within one accounting year. Examples include creditors, bank overdraft and accrued expenses. Current liabilities are deducted from current assets to obtain working capital.
Example
Terang Electrical Shop has creditors of RM5,000 and a bank overdraft of RM2,000 as current liabilities, totalling RM7,000 that must be paid in the near term.
Source: DSKP KSSM Prinsip Perakaunan Tingkatan 4