If a long-term debt is paid in installments,the business will report the current portion of the note payable as a current liability.

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When a long-term debt is paid in installments, the portion of the debt that is due within one year is reported as a current liability on the balance sheet. This is known as the current portion of the note payable. The remaining portion of the debt that is due after one year is reported as a long-term liability.

If a Long-Term Debt Is Paid in Installments,the Business Will