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Q. What is Long-term liabilities?
Long-term liabilities are debts such as a bonds payable and mortgage payable that aren't due for more than one year. Companies must show maturity dates in the balance sheet for all long-term liabilities. Usually the liabilities with the earliest due dates are listed first.
Notes payable with maturity dates as a minimum one year further than the balance sheet date are long-term liabilities.
Bonds payable are long-term liabilities and are confirmation by formal printed certificates sometimes secured by liens (claims) on property such as mortgages. Maturity dates must appear on the balance sheet for all major long-term liabilities. The deferred income taxes on The Home Depot's balance sheet consequence from a difference between income tax expense in the accounting records and the income tax payable on the company's tax return.
Notes to financial statements
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