Question

Claims of creditors and owners on the assets of a business are called:

A) Revenues.
B) Expenses.
C) Liabilities.
D) Equity.

Answer 1

Claims of creditors and owners on the assets of a business are called liabilities. In accounting, liabilities are the obligations of a business to pay back debts or obligations to creditors or owners. Liabilities can include loans, accounts payable, and accrued expenses.

Step-by-step explanation:

Claims of creditors and owners on the assets of a business are called Liabilities. In accounting, liabilities are the obligations of a business to pay back debts or obligations to creditors or owners. Liabilities can include loans, accounts payable, and accrued expenses. They represent the amount of money that the business owes to others.