Please ensure Javascript is enabled for purposes of website accessibility
Search
Accessibility Menu

What Is a Liability?

By Jason Hall – Updated Dec 16, 2024 at 1:10PM

Key Points

  • Liabilities are what a company owes, not inherently negative; understanding them aids in investment decisions.
  • Assets should offset liabilities; how they balance can indicate potential economic growth.
  • Different industries have varied liability exposures; knowing this can inform better investment choices.
Key findings are powered by ChatGPT and based solely off the content from this article. Findings are reviewed by our editorial team. The author and editors take ultimate responsibility for the content.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.