liability Hear it!

liability definition - finance
An obligation to make a payment to a person or company in exchange for a benefit that has been received or money that has been lent. The liability section on a companyÂ’s balance sheet is one of the three major parts of the balance sheet.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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