Another Word For Liabilities

Meaning

The term "liabilities" refers to the financial obligations or debts that a company or individual is responsible for. These obligations can include loans, accounts payable, mortgages, and any other debts that must be paid in the future. In a business context, liabilities are part of the balance sheet and are generally categorized into current liabilities (due within one year) and long-term liabilities (due after one year).

Synonyms

• Debts
• Obligations
• Responsibilities
• Encumbrances
• Dues

Antonyms

• Assets
• Benefits
• Gains
• Profits
• Equity

Etymology

The word "liability" originates from the Latin word "liabilitas," which means "the condition of being liable," and is derived from "ligare," meaning "to bind." The term entered the English language in the late 19th century.

Examples

1. The company's liabilities increased significantly after taking out a new loan for expansion.
2. It's essential for individuals to track their liabilities to manage their personal finances effectively.
3. Investors often assess a company's liabilities before making investment decisions to understand its financial health.
4. The balance sheet clearly outlines both assets and liabilities, helping stakeholders evaluate the firm's stability.