Among the short-term obligations of Lance Company as of December 31, the statement of financial position date, are notes payable totaling $250,000 with the Madison National Bank.These are 90-day notes, renewable for another 90-day period.These notes should be classified on the statement of financial position of Lance Company as

Question

Quizplus · Accepted Answer

The notes payable are short-term obligations due within one year and are renewable for another 90-day period, thus they should be classified as current liabilities.

Among the Short-Term Obligations of Lance Company as of December