WebFeb 23, 2024 · While long-term liabilities provide financing for a company, they also create risk. The most common risks associated with long-term liabilities are interest rate risk … WebMay 18, 2024 · Notes payable can be classified as either a short-term liability, if due within a year, or a long-term liability, if the due date is longer than one year from the date the note …

Long-Term Liabilities: Definition, Examples, and Uses

WebMar 14, 2014 · A payable (such as interest payable) can be either a long term or current liability, to find out which consider the definitions of each. Current liability is any liability … WebWhich of the following correctly describes the accounting treatment for interest payable? A. It is shown on the balance sheet as a current liability. B. It is shown on the balance sheet as a long-term liability. C. It is shown on the income statement as an operating expense. D. It is shown on the balance sheet as a current asset. the great indian comedy show

Long-Term Liabilities Examples (with Detailed Explanation)

WebJul 18, 2024 · The long-term portion of a bond payable is reported as a long-term liability. Because a bond typically covers many years, the majority of a bond payable is long term. The present value of a lease payment that extends past one year is a long-term liability. The working capital ratio is 1.12, meaning that the company is at risk of a bad month ... WebInterest Payable: Interest payable is a current liability. It is the amount of interest a company owes to a) the lenders it has borrowed any debt from, or b) to the lessor it has leased any … WebAccounting questions and answers. 23. Each of the following accounts is reported as long-term liabilities except A Bond Interest Payable B) Bonds Payable. C) Discount on Bonds Payable D) Premium on Bonds Payable. 24. In the balance sheet, the account, Premium on Bonds Payable, is A) added to bonds payable. B) deducted from bonds payable: C ... the awesome banana reading