The Essential Characteristics of a Liability Under the Definition in the Conceptual

Multiple Choice

The essential characteristics of a liability under the definition in the Conceptual Framework are:
I. Settlement requiring an outflow of resources embodying economic benefits.
II. A present obligation to an external party.
III. A legal debt.
IV. The obligation must have resulted from past events.

A) I and IV
B) I, II and III
C) I, II and IV
D) III and IV