Question

1 - What is the rule that used to distinguish current and long- term liabilities?

2 – Give 5 examples of intangible assets?

Answer 1

1 Rules of Distinguish current and long term liabilities

1 Current Liabilities are Due / Paid Within one year time period

2 Current Liabilites Help to Operations of Business.

3 Long Term Liabilities are due and paid after one year.

3 Long Term Liabilities are Non- Operating Nature.

Example Current Liabilities= Trade Payable , Duties and Taxes,

Long Term Liabilities = Bank Loans, Debenture

2.

Example of Intangible Assets

1 Trademark

2 Copyright

3 Patent

4 Licernces

5 Goodwill