Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as:

A) Current assets.
B) Current liabilities.
C) Long-term liabilities.
D) Operating cycle liabilities.
E) Bills.

Question

Constantino Maria Ondo Obiang · Accepted Answer

Final Answer : C, Explanation :  Obligations not expected to be paid within the longer of one year or the company's operating cycle are classified as long-term liabilities. This is because such obligations would not have to be paid within the current period or operating cycle, and therefore, do not qualify as current liabilities.

Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as:

A) Current assets.
B) Current liabilities.
C) Long-term liabilities.
D) Operating cycle liabilities.
E) Bills.

Definitions

Learning Objectives

Learning Objectives

Related questions

Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as:A) Current assets.B) Current liabilities.C) Long-term liabilities.D) Operating cycle liabilities.E) Bills.

Definitions

Learning Objectives

Learning Objectives

Related questions

Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as:

A) Current assets.
B) Current liabilities.
C) Long-term liabilities.
D) Operating cycle liabilities.
E) Bills.