Current maturities of long-term debt
A) require an adjusting entry.
B) are optionally reported on the balance sheet.
C) can be properly classified during balance sheet preparation with no adjusting entry required.
D) are not considered to be current liabilities.

Question

Quizplus · Accepted Answer

Current maturities of long-term debt are classified as current liabilities during the preparation of the balance sheet without the need for an adjusting entry. This classification reflects the portion of long-term debt that is due within the next year.

Current Maturities of Long-Term Debt