debt due to be paid with cash or with goods and services within one year (or operating cycle if longer) is a current liability.

Question

Quizplus · Accepted Answer

Current liabilities are financial obligations of a business entity that are due and payable within a year or within the operating cycle of the entity, whichever is longer, and can be settled by using current assets or through the creation of other current liabilities.

Debt Due to Be Paid with Cash or with Goods