What are typical liquid liabilities?
submitted by Owen Cash

Ronald Raygun

Liquid liabilities are obligations that a company needs to settle within one year. Some common examples might be accounts payable, short-term loans, accrued expenses, and wages payable. They are recorded on the balance sheet as current liabilities.

bbarr

Liquid liabilities are debts that a business has to pay soon, usually within a year. They include things like bills to suppliers and wages owed to employees.

estudious

Typical liquid liabilities include:

Accounts payable
Short-term debt (bank loans payable within a year)
Wages payable
Taxes payable
Interest payable
Accrued expenses

nonchalant

They're basically the bills and debts a company needs to pay off quickly, like money owed to suppliers or employees.

generous_sleeves

Liquid liabilities are current obligations that are expected to be settled in the near term, usually within 12 months. Some examples are: accounts payable, short-term borrowings, accrued liabilities such as interest payable, and payroll liabilities.

thepirate

Think of liquid liabilities like your credit card bill or rent; these are expenses or debts you need to pay soon, so they're called "liquid" because they're ready to be paid off quickly.