The Current Portion of Notes Payable Is the Principal Amount

question 140

True/False

The current portion of notes payable is the principal amount that will be paid within two years of the balance sheet date,and the remaining portion is long term.

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Definitions:

Social-Cost Curve

illustrates the total cost of producing a good or service, including both private costs incurred by businesses and external costs borne by society.

Private Cost

The cost of a production activity that is directly borne by an enterprise.

Gallon

A gallon is a unit of volume measurement used primarily in the United States, equal to 3.785 liters.

Externality

An outcome from economic actions affecting external third parties not related to the activity, which could be either advantageous or detrimental.