Definition

Operating liability VS Financial liability

An operating liability is an obligation incurred in producing goods and services for customers.

A financial liability is an obligation incurred in raising cash to finance operations.

Share it:  Cite

More from this Section

  • Top management
    Top management is the managers at the highest level of the management pyramid who devote ...
  • Pure competition
    Pure competition is the market structure, in which large numbers of buyers and sellers ...
  • Financing section
    Financing section is the section of a business plan that demonstrates the cost of the ...
  • Business ethics
    Business ethics is the standards of conduct and moral values regarding right and wrong ...
  • Inventory control
    Inventory control is the process of establishing and maintaining appropriate levels of ...