Liabilities are debts owed by the University. Typically, debts must be paid by certain dates. Many liabilities are incurred by purchasing an item on credit. Other liabilities are assumed through the acquisition of assets or through the payroll process.

Accounts Payable - (TCC 070) - represents obligations of the University for goods or services received but for which no payment has been made. NDSU records accounts payable on the general ledger only at fiscal year-end (June 30). Request for payments, travel vouchers, and receiving reports which are paid in July, for goods/services received in June or earlier, are recorded as accounts payable in the applicable fund. In July, accounts payable is eliminated when the July check is written.

Salaries Payable - (TCC 071) - represents obligations of the University for salaries and wages at fiscal year-end. The payroll system records salaries payable each year at June 30 for accrued salary expenditures - generally, hours worked through June 30 which are paid in July.

Sales Tax Payable - (TCC 072) - this account is used for recording the University's liability for sales tax collected but not remitted. The amount of sales tax payable at the end of every month should agree to what is remitted to the State Tax Commissioner the following month.

Payroll Withholding Payable - (TCC 073) - this account is used for recording all amounts withheld from employee's salaries, plus University matching fringe benefits, for which the University has a liability to remit to an outside agent. The cash, along with the corresponding liability, is recorded in an agency fund (9000s). The liability for each agent is separated by individual fund numbers.

Deposits - (TCC 074) - this account reports the University's liability for amounts placed on deposit for items such as room deposits, key deposits, or laboratory breakage fees. These amounts may be returned to the depositor or utilized by the University to cover expenses incurred in relation to the purpose of the deposit. If the deposit is assumed by the University, it becomes a revenue item.

Due to Other Funds - (TCC 075) - this account is used to record temporary advances from other funds. See TCC 045 (due from other funds).

Deferred Revenue - (TCC 076) - this account represents assets received (usually cash) which have not yet been recognized as revenue. NDSU uses this account primarily in the grant and contract funds. Cash awards are receipted into the grant/contract funds using TCC 076. When the cash is expended, the expended portion is recognized as revenue and deferred revenue is reduced.

Bonds Payable - (TCC 077) - represents the University's liability for indebtedness represented by a bond indenture. Generally, bonds payable are recorded in the Investment in Plant funds (7900's) as they were incurred to acquire capital assets. Entries to this TCC are recorded only by the Accounting Office.

Notes Payable - (TCC 078) - this account is used to record the University's liability when long-term written agreements have been signed to repay a loan. Short-term agreements are recorded as accounts payable. Entries to this TCC are recorded only by the Accounting Office.

Leases Payable - (TCC 079) - this account is used to record the University's liability for written lease agreements entered into to acquire capital assets. These liabilities are recorded in the Investment in Plant funds (7900's) to offset the capital asset (e.g. equipment) which is recorded at total cost. Entries to this TCC are recorded only by the Accounting Office.

Accrued Leave Payable - (TCC 080) - represents the University's fiscal year-end annual leave liability for all employees. This is recorded once a year into control funds by the Accounting Office.

Special Assessments Payable - (TCC 081) - represents the University's liability for Special Assessments payable to the County Treasurer for land improvements. These entries are prepared by the Accounting Office and are recorded in the Investment in Plant funds (7900's).

Advance Payments - (TCC 082) - established to be used in the accounts receivable drawdown system when a party makes a payment in advance of the charge being recorded. At this time, NDSU is using TCC 074 to record the advance payments.

Interest Payable - (TCC 083) - represents the accrual of interest on bonds payable. This is generally recorded in the retirement of indebtedness fund where the interest is paid.

Retainages Payable - (TCC 084) - represents the cummulative amount the University has retained on payments to contractors on capital improvement projects. This amount is remitted to the contractors upon final inspection of the work by the architect/engineer and University.

Retirement/Tenure Payable - (TCC 085) - represents the amounts payable to employees under an early retirement or tenure buyout agreement.