Reporting current and noncurrent portions


Reporting Current and Noncurrent Portions of Long- term Debt Assume that on December 1, 2010, your company borrowed $ 14,000, a portion of which is to be repaid each year on November 30. Specifically, your company will make the following principal payments: 2011, $ 2,000; 2012, $ 3,000; 2013, $ 4,000; and 2014, $ 5,000. Show how this loan will be reported in the December 31, 2011 and 2010 balance sheets, assuming that principal payments will be made when required.

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Accounting Basics: Reporting current and noncurrent portions
Reference No:- TGS0704814

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