Which of these is a long-term liability?
AAccrued interest
BMortgage loan
CSalaries payable
DCustomer deposits
Answer & Solution
Correct answer: B. Mortgage loan
A mortgage loan is owed for more than one year, so it is a long-term liability.
Keep practising Double-Entry Bookkeeping
Browse all Double-Entry Bookkeeping questions for CA Foundation, or explore more Accounting topics.
Related questions
A contra account carries a balance that is what?What does the retained earnings account reflect?What does a chart of accounts list?Revenue and expense accounts are regarded as what kind of accounts?A service is performed for a customer who pays later. Which account is credited?By accepted practice, how are credit entries shown in a journal?Which of these is an equity account?Another name for the balance sheet is what?