The mortgage on Prudential Insurance's local facility will be paid off over the next 30 years. The majority of this mortgage would be classified on Prudential's balance sheet as a(n)
A) current asset.
B) current liability.
C) long-term asset.
D) long-term liability.
E) account payable.

Question

Quizplus · Accepted Answer

The mortgage on Prudential Insurance's local facility will be paid off over the next 30 years, indicating that it is a long-term obligation. As a result, the majority of this mortgage will be classified as a long-term liability on Prudential's balance sheet.

The Mortgage on Prudential Insurance's Local Facility Will Be Paid