Debts to be paid more than one year from now are claims against the firm's assets: in other words,they are long-term liabilities.These claims are from ________ who have provided capital to the firm but whose entire repayment is not due during the coming year or operating cycle.
A)banks and bondholders
B)banks and stockholders
C)stockholders and bondholders
D)all long-term lenders

Question

Quizplus · Accepted Answer

Long-term liabilities are typically owed to banks and bondholders, who provide capital to the firm with repayment terms extending beyond one year. Stockholders are equity holders, not creditors.

Debts to Be Paid More Than One Year from Now