Updated: Sep 2, 2019
Liabilities are shown after the Assets section in the Statement of Financial Position/ Balance Sheet. These are financial or legal obligations that an entity may accrue over the course of doing business. Examples of liabilities include: accounts payable, bank loans outstanding and mortgages.
We will dive further into detail about individual liability accounts in later articles.
A sample Statement of Financial Position/ Balance Sheet highlighting the Liability elements, can be found below.
* In ASPE standards, there is no concept of Accumulated and Other Comprehensive Income, so this category will not exist.
If you have feedback or questions, please leave a comment in the section below.
Click our Sign Up button (top of page) to receive updates, additional exam prep information and to connect with our community.
Up Next: Shareholder's Equity ->