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Does a long term liability eventually become a current liability?
Wiki User
∙ 10y ago
Yes they probably will. The only difference between them is that current liabilities are due within one year and non-current liabilities are due in more than one year.
So unless a non-current one is paid off much earlier than required non-currents will eventually become current.
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Blogs:aletterofappreciation.blogspot.com
Wiki User
∙ 10y ago
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Is it true all long term liabilties become current liabilities?
Long term liability becomes the current liability in that year in which it is to be cleared so Yes, long term liability become current liability.
Do all long term liabilities eventually become current liabilities?
Yes. In the long run. A Current Liability is one which is due to be settled in the Current Period (Usually within 12 Months) therefore as the Long Term Liabilities become due they become current liabilities.
Is Demand loan a current liability or a long term liability?
a current liability
Are billings in excess of cost a current liability or long term liability?
Yes it is a current liability
Is a loan is current liability or long term liability in the balance sheet?
If loan is payable within twelve month of issuance of loan then it is current liability but if it is payable in more than one fiscal year then it is long term liability but even in long term loan, that portion of loan which is payable in current fiscal year is current liability and remaining portion is long term liability.
Is it true all long term liabilties become current liabilities?
Long term liability becomes the current liability in that year in which it is to be cleared so Yes, long term liability become current liability.
Do all long term liabilities eventually become current liabilities?
Yes. In the long run. A Current Liability is one which is due to be settled in the Current Period (Usually within 12 Months) therefore as the Long Term Liabilities become due they become current liabilities.
Is Demand loan a current liability or a long term liability?
a current liability
Are billings in excess of cost a current liability or long term liability?
Yes it is a current liability
Is a loan is current liability or long term liability in the balance sheet?
If loan is payable within twelve month of issuance of loan then it is current liability but if it is payable in more than one fiscal year then it is long term liability but even in long term loan, that portion of loan which is payable in current fiscal year is current liability and remaining portion is long term liability.
Is subordinated capital notes a current liability or a long term liability?
Long term
What is the fundamental variable which is used to determine if a liability is a current liability or a long term liability?
if liability is payable within one fiscal year then it is current liability while if it is payable for morethan one fiscal year then it is long terrm liability.
Is salary payable a current liability or long term liability?
It should be current liability because it is made monthly, not per year.
Sundry creditor is a -------------- 1.current liability 2.long term liability 3.current asset. 4.fixed asset.?
Sundry creditor is current liability.
What is the current portion of long-term debt classified with?
Current portion of long term loan is classified as current liability and shown under current liability section of balance sheet.
Is long term debt an operating liability?
NO. But the Current maturities of long-term debt is an operating liability.
Is a long term loan repayable in 6 years a non current asset or non current liability?
It is a loan repayable. Hence it is a liability. As the liability is for more than one year, it is non current liability.
