Items Included In The Liabilities Side Of The Balance sheet

1. Fixed Liabilities

Those liabilities which are payable to the owners only on the liquidation of the company after making the payment of other outside liabilities are called fixed liabilities.

2.Current Liabilities
Current liabilities are those type of liabilities which are payable out of current assets within the next accounting period.Bills payable,short term bank overdraft are the examples of current liabilities.

3.Long term Liabilities
Long term liabilities are those liabilities which are not payable within the next accounting period but will be payable within next few years. Debentures are the example of long term liabilities.