The Difference Between Estimated Liabilities And General Liabilities

Expected liabilities are liabilities arising from contingencies.

First, the obligation is the current obligations of the enterprise. Two, the performance of the obligation is likely to cause the economic benefits to flow out of the enterprise, and the three is that the amount of the obligation can be measured reliably.

The estimated liabilities of the "estimated liabilities" account include liabilities that are likely to arise from external guarantees, commercial acceptance discounts, product quality assurance and pending litigation.

General liabilities refer to the current obligations of past pactions or events. The obligation to fulfill such obligations is expected to cause economic benefits to flow out of the enterprises. One of its characteristics is that liabilities are the current obligations of enterprises. Two, the repayment of liabilities is expected to cause economic benefits to flow out of enterprises.

Although liabilities are assumed to be corporate liabilities, unlike the general liabilities, liabilities are expected to lead to economic outflows.