Match List – I with List – II.

Choose the correct answer from the options given below :

A-III, B-IV, C-I, D-II

The correct answer is option 4- A-III, B-IV, C-I, D-II.

* Economic resources of an enterprise that can be usefully expressed in monetary terms-  Assets. Assets are economic resources of an enterprise that can be usefully expressed in monetary terms. Assets are items of value used by the business in its operations.

* Obligations or debts that an enterprise has to pay at some time in the future- Liabilities. Liabilities are obligations or debts that an enterprise has to pay at some time in the future. They represent creditors’ claims on the firm’s assets. Both small and big businesses find it necessary to borrow money at one time or the other, and to purchase goods on credit.

* Person owe to an enterprise an amount for buying goods and services on credit- Debtors. Debtors are persons and/or other entities who owe to an enterprise an amount for buying goods and services on credit. The total amount standing against such persons and/or entities on the closing date, is shown in the balance sheet as sundry debtors on the asset side.

* Persons who have to be paid by an enterprise an amount for providing the enterprise goods and services on credit- Creditors. Creditors are persons and/or other entities who have to be paid by an enterprise an amount for providing the enterprise goods and services on credit. The total amount standing to the favour of such persons and/or entities on the closing date, is shown in the Balance Sheet as sundry creditors on the liabilities side.