The Obligation for Deferred Income Taxes Is the Only Long-Term

question 49

True/False

The obligation for deferred income taxes is the only long-term liability that is not reported at its present value.

---

Definitions:

Cash Receipts Journal

A specialized accounting journal used to record all receipts of cash.

General Journal

A primary accounting record used to record all business transactions not specifically assigned to a special journal.

Subsidiary Ledgers

Detailed ledgers that contain information about specific accounts, which then summarize into a control account in the general ledger.

Accounts Payable

Short-term liabilities of a company, representing amounts owed to creditors for goods or services received.