usiness firms use a financial analysis technique called asset vs. liability management (ALM) to mitigate risk due to a mismatch in their assets and liabilities. A mismatch occurs when assets and ...

Liabilities are financial obligations and responsibilities you need to pay off using your assets. Though they might seem like a drag—and they certainly can be, if you aren’t careful—liabilities help ...

Julia Kagan is a financial/consumer journalist and former senior editor, personal finance, of Investopedia. Timothy Li is a consultant, accountant, and finance manager with an MBA from USC and over 15 ...

This guide was reviewed by a Business News Daily editor to ensure it provides comprehensive and accurate information to aid your buying decision. Liabilities are a fact of life for a business owner.

When investing, assessing a company’s assets and liabilities is a basic requirement to determine what the company is worth. Thankfully, public companies file their financial statements with the ...

Accounting gives a business a way to keep track of its liabilities and expenses. In terms of liability vs. expense accounts, a liability refers to a financial obligation, or upcoming duty to pay. An ...

Learn what a contra liability account is, how it functions in financial accounting, and explore examples of this essential component in balancing liabilities.