Mr. Morgan earns $38,000 a year as a salesperson and a 5% commission on all his sales. He has a mortgage of $910 a month and pays $175 a month for utilities. Mr. Morgan owns a rental property for which he receives $680 per month.Which is a liability?

A liability is a debt or financial obligation that a person owes. The $910 monthly mortgage payment is associated with a loan Mr. Morgan must repay, so the mortgage is a liability. His salary, commission, and rental property are sources of income or assets, not liabilities.

AI-written and checked against the verified answer.