Bonds payable (due 5 years from the balance sheet date)should be classified as follows:
A)A contingent liability.
B)A long-term liability.
C)A current liability.
D)An element of the owners' equity.

Question

Quizplus · Accepted Answer

Bonds payable that are due 5 years from the balance sheet date are classified as a long-term liability because they are not due within the next year.

Bonds Payable (Due 5 Years from the Balance Sheet Date)should