Course 107: A Tour through the Balance Sheet
In this course
1 Introduction
2 Assets
3 Liabilities
4 Shareholders' Equity

Current Liabilities. These are the flip side of current assets: money the company expects to pay within a year. Among the subcategories of current liabilities are: Short-term borrowings. This refers to money the company has borrowed for a term of less than a year, usually to meet short-term needs. Current accounts payable. These are bills the company owes to somebody else and are due to be paid within a year. Noncurrent Liabilities. Noncurrent liabilities are the flip side of noncurrent assets. They represent money the company owes one year or more in the future. Though you'll sometimes see a variety of line items under this heading, the most important one by far is long-term debt. This represents money the company has borrowed for a period of years, either from a bank or through issuing bonds. A lot of long-term debt is generally risky for a company, because the interest on such debt has to be repaid no matter how business is doing.

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