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Chapter 9: Debt Financing - Current and Long-term Liabilities

  • Page ID
    98044
    • Henry Dauderis and David Annand
    • Athabasca University via Lyryx Learning

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    Learning Objectives
    • LO1 – Identify and explain current versus long-term liabilities.
    • LO2 – Record and disclose known current liabilities.
    • LO3 – Record and disclose estimated current liabilities.
    • LO4 – Identify, describe, and record bonds.
    • LO5 – Explain, calculate, and record long-term loans.

    A corporation often has liabilities. These liabilities must be classified on the balance sheet as current or long-term. Current liabilities can include known liabilities such as payroll liabilities, interest payable, and other accrued liabilities. Short-term notes payable and estimated liabilities, including warranties and income taxes, are also classified as current. Long-term debt is used to finance operations and may include a bond issue or long-term bank loan.


    This page titled Chapter 9: Debt Financing - Current and Long-term Liabilities is shared under a CC BY-NC-SA 3.0 license and was authored, remixed, and/or curated by Henry Dauderis and David Annand (Lyryx Learning) .

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