Which of the following is an example of a current liability?

The example of a current liability is accounts payable because it represents amounts a company owes to its suppliers for goods or services received but not yet paid for. Current liabilities are obligations that are expected to be settled within one year or within the company’s operating cycle, whichever is longer. Accounts payable is a typical component of current liabilities, indicating that the company is financially obligated to pay off these debts in the near future.

Long-term debt, mentioned in the first option, refers to loans or financial obligations that are due in more than one year. Intangible assets, which include items like patents and trademarks, represent investments made by the company and are not liabilities at all. Equity investments are not liabilities either; they represent ownership interest in another company or entity and therefore do not fall under the category of current liabilities.