Debts to Be Paid More Than One Year from Now

question 48

Multiple Choice

Debts to be paid more than one year from now are claims against the firm's assets: in other words,they are long-term liabilities.These claims are from ________ who have provided capital to the firm but whose entire repayment is not due during the coming year or operating cycle.

• A)banks and bondholders
• B)banks and stockholders
• C)stockholders and bondholders
• D)all long-term lenders

---

Definitions:

Personal Exemptions

Deductions taxpayers could claim for themselves and dependents, significantly reduced under the Tax Cuts and Jobs Act of 2017.

Taxpayer and Spouse

The term used to refer to individuals filing a joint tax return, typically a married couple.

Married Person

A tax filing status for individuals who are legally married, affecting tax brackets, allowances, and potential deductions.

Tax Liability

The total amount of tax owed to a taxing authority, such as the IRS, based on taxable income and tax rate.