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

Question

Quizplus · Accepted Answer

Long-term obligations such as notes, mortgages, and bonds are reported as long-term liabilities regardless of when they become payable. They are not reclassified as current liabilities unless they become due within the upcoming year.

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