Long term liabilities consist of an expected outflow of resources arising from present obligations that are not payable within a year or the operating cycle of the company whichever is longer.

Retained earnings is the amount earned through profitable operations of corporations and that is kept in the corporation?

The term "Retained Earnings" represents the amount earned through profitable operations of a corporation and that is kept in the corporation. The correct answer is D.

Owners of a corporation are not personally responsible from the corporation’s liabilities.

These costs incur only at the initial recognition of machinery and equipment. In other words, for the first recognition of these assets, expenditures made for bringing them to their initial use are capitalized. Assume that the machinery has been installed and the company is using them. After three years of using, the company needs to move and settle to a new location. In this case, the expenditure for disassembling and reassembling the machinery, transportation charges, insurance during transportation, etc. will not be capitalized. They will be recorded as period expenses. The correct answer is A.

The most important part of the statement of cash flows is operating cash flows as they reflect the basis of the business.

Contingent liabilities are similar to estimated liabilities in nature, as both of them represent possible future liabilities arising from past events. However, they differ in terms of the level of uncertainty included. The estimated liabilities can be reported in financial statements to the extent they are reliably measured, whereas the contingent liabilities are reported just in footnotes because of the high level of uncertainty included in their measurement or existence. The correct answer is E.

Total price= 150.000 +10.500 +5000 = 165.500