A liability is an obligation that a company is expected to fulfill. Liabilities can be current or noncurrent and can influence the liquidity, solvency, and leverage of an organization.

Describe what investors do when trying to decide which company to invest in among several companies. What financial metrics would they use to evaluate the liability section of the balance sheet? Explain the information that the metrics would provide.

In your own words, please post a response to the Discussion Board and comment on other postings. You will be graded on the quality of your postings.

Select 2 of your classmates' posts, and answer 1 of the following questions:

• Do you agree with your classmates analysis?
• What additional information could the financial metrics suggested by your peers tell you about the financial stability of the company?

IN YOUR OWN WORDS PLEASE