Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as:
A) Current assets.
B) Current liabilities.
C) Long-term liabilities.
D) Operating cycle liabilities.
E) Bills.

Question

Quizplus · Accepted Answer

Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as long-term liabilities. This is because they are not due for payment within one year or the operating cycle and are therefore not considered as part of the company's short-term obligations.

Obligations Not Expected to Be Paid Within the Longer of One