The long-term liabilities that represent money loaned to the firm by bondholders that must be paid back are called "Bonds Payable".

Here are the steps to understand this:

1. Long-term liabilities: These are financial obligations that a company expects to pay after one year. They are recorded on the company's balance sheet.

2. Money loaned to the firm by bondholders: This refers to the process where the company borrows money from investors (bondholders) by issuing bonds. The company promises to pay back the borrowed amount plus interest over a specified period.

3. Must be paid back: This refers to the company's obligation to repay the borrowed amount (principal) plus interest to the bondholders at a specified future date (maturity date).

4. Called Bonds Payable: The term for this type of long-term liability is "Bonds Payable". It represents the amount that the company owes to bondholders and must pay back in the future.

Question

The long-term liabilities that represent money loaned to the firm by bondholders that must be paid back are called "Bonds Payable".

Here are the steps to understand this:

1. Long-term liabilities: These are financial obligations that a company expects to pay after one year. They are recorded on the company's balance sheet.

2. Money loaned to the firm by bondholders: This refers to the process where the company borrows money from investors (bondholders) by issuing bonds. The company promises to pay back the borrowed amount plus interest over a specified period.

3. Must be paid back: This refers to the company's obligation to repay the borrowed amount (principal) plus interest to the bondholders at a specified future date (maturity date).

4. Called Bonds Payable: The term for this type of long-term liability is "Bonds Payable". It represents the amount that the company owes to bondholders and must pay back in the future.

Knowee AI · Accepted Answer

The long-term liabilities that represent money loaned to the firm by bondholders that must be paid back are called "Bonds Payable".

Here are the steps to understand this:

1. Long-term liabilities: These are financial obligations that a company expects to pay after one year. They are recorded on the company's balance sheet.

2. Money loaned to the firm by bondholders: This refers to the process where the company borrows money from investors (bondholders) by issuing bonds. The company promises to pay back the borrowed amount plus interest over a specified period.

3. Must be paid back: This refers to the company's obligation to repay the borrowed amount (principal) plus interest to the bondholders at a specified future date (maturity date).

4. Called Bonds Payable: The term for this type of long-term liability is "Bonds Payable". It represents the amount that the company owes to bondholders and must pay back in the future.

Long-term liabilities that represent money loaned to the firm by bondholders that must be paid back are called payable.

Question

Long-term liabilities that represent money loaned to the firm by bondholders that must be paid back are called ______ payable.

Solution

Similar Questions

Upgrade your grade with Knowee