Long-term obligations such as notes,mortgages,and bonds are reported as long-term liabilities when they become payable within the upcoming year.

Question

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Long-term obligations such as notes, mortgages, and bonds are reported as long-term liabilities when they are not payable within the upcoming year. If they become payable within the upcoming year, they are classified as current liabilities.

Long-Term Obligations Such as Notes,mortgages,and Bonds Are Reported as Long-Term