Which of the following accounts could be categorized as either a current or noncurrent liability depending on date the debt is due?
A)Notes payable and deferred taxes.
B)Accounts payable and current portion of long-term debt.
C)Deferred taxes and mortgages due in 30 years.
D)Long-term warranties and accounts payable.

Question

Quizplus · Accepted Answer

Notes payable and deferred taxes can be categorized as either current or noncurrent liabilities depending on the timing of when the debt is due. If the debt is due within one year, it is considered a current liability; if it is due in more than one year, it is considered a noncurrent liability.

Which of the Following Accounts Could Be Categorized as Either