Which of the following statements is true of liabilities?

a) It represents claims to a companys equity.

b) The smaller a liability total is in comparison to the reported amount of assets, the riskier the financial position.

c) A lower percentage of current liabilities to current assets will result in a lower current ratio.

d) It is an obligation owed to a party outside the reporting organization.

e) It cannot be settled by the conveyance of other assets or the delivery of services.