Which of the following statements regarding liabilities is false?

Multiple Choice

A liability is a probable future payment of assets or services that a company is presently obligated to make as a result of past transactions or events.

Potential future wages to be paid to employees should be recorded as liabilities.

Long-term liabilities are obligations due after one year, or the companys operating cycle if longer.

Liabilities are classified as either current or long term.

Liabilities can involve uncertainty in whom to pay.