Debts that are due in one year or less are classified on the balance sheet as
A) current liabilities.
B) bonds payable.
C) callable bonds.
D) immediate expenses.

Question

Quizplus · Accepted Answer

Debts that are due in one year or less are classified as current liabilities on the balance sheet. Current liabilities are obligations that must be fulfilled within one year or less and include items like accounts payable, salaries payable, and short-term loans. Bonds payable and callable bonds are long-term liabilities, while immediate expenses are not a type of liability.

Debts That Are Due in One Year or Less Are