Which is an example of a non-current liability?

Asked by: Kimberly Gleason  |  Last update: June 23, 2026
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Examples of a non-current liability include:

What is an example of a non-current liability?

Non-current liabilities examples are long-term loans and leases, lines of credit, and deferred tax liabilities.

Which of the following liabilities would be a non-current liability?

Examples of non-current liabilities include long-term loans, bonds payable, deferred tax liabilities, and pension obligations. These financial commitments reflect the company's long-term capital structure and financial health.

What are the 4 types of non-current assets?

Non-current assets may be tangible (like physical property) or intangible (like intellectual property). Key categories of non-current assets include property, plant & equipment (PP&E); investments; goodwill; and “other” intangible assets.

What are current and non-current liabilities?

Current Liabilities: are the obligations due for payment or settlement within the next 12 months. Non – Current Liabilities: are long term obligations, including debts of the business, which are not due for payment within the next financial year.

Balance Sheet - Current and Non-current Liabilities

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What are the 5 examples of current liabilities?

The most common current liabilities that appear on the balance sheet include accounts payable, short-term loans, salaries payable, taxes payable, accrued expenses, and deferred revenue. All these reflect expenditures a company is bound to pay within a year or its operative cycle.

What are the 5 current and non-current assets?

Main Takeaways

Noncurrent Assets are long-term and have an operational life of over a year. Cash, marketable securities, inventory, and accounts receivable are a few examples of current assets. Real estate, long-term investments, trademarks, and PP&E are a few examples of noncurrent assets.

What is another name for a non current asset?

Non-current assets are assets and property owned by a business that are not easily converted to cash within a year. They may also be called long-term assets.

What are 5 examples of current assets?

7 types of current assets

  • Cash and cash equivalents.
  • Marketable securities.
  • Accounts receivable.
  • Inventory.
  • Operating supplies.
  • Prepaid expenses.
  • Other liquid assets.

What counts as non-current liabilities?

The non-current liabilities definition refers to any debts or other financial obligations that can be paid after a year. Typical examples could include everything from pension benefits to long-term property rentals and deferred tax payments.

What are the 4 types of liabilities?

Based on categorisation, liabilities can be classified into five types: contingent, current, non-current, common (like mortgage and student loans), and statutes (like taxes payable).

Which of the following is not a non-current liability?

Answer and Explanation: The correct answer is (c) Current portion of long-term debt. Non-current liabilities are firm's obligations that have terms of longer than one year.

What is another term for non-current liabilities?

This includes long-term loans, bonds payable, lease obligations, and pension liabilities. Noncurrent liabilities, which are also called long-term liabilities, are one of the many financial data points used for financial planning and analysis.

Is cash a non-current liability?

Current assets are short-term in nature, such as cash and inventories. Non-current assets are long-term; for example, land, building, and equipment. Liabilities are obligations to other parties, such as payable to suppliers, loans from banks, bonds issued, etc.

Is a mortgage a non-current liability?

Definition of a Mortgage Loan Payable

Future interest is not reported on the balance sheet.) Any principal that is to be paid within 12 months of the balance sheet date is reported as a current liability. The remaining amount of principal is reported as a long-term liability (or noncurrent liability).

What are the 20 examples of non-current assets?

Examples of noncurrent or long-term assets include:

  • Cash surrender value of life insurance.
  • Bond sinking fund.
  • Certain investments in other corporations.
  • Plant assets such as land, buildings, equipment, furnishings, vehicles, leasehold improvements.
  • Intangible assets such as goodwill, trademarks, mailing lists.

What are 10 examples of current liabilities?

Some examples of current liabilities that appear on the balance sheet include accounts payable, payroll due, payroll taxes, accrued expenses, short-term notes payable, income taxes, interest payable, accrued interest, utilities, rental fees, and other short-term debts.

What are non current assets and fixed assets?

Fixed or Non-Current Assets

Non-current assets are assets that cannot be easily and readily converted into cash and cash equivalents. Non-current assets are also termed fixed assets, long-term assets, or hard assets.

What are 10 non-current liabilities?

Common examples of non-current liabilities

  • Long-term loans.
  • Bonds payable.
  • Lease liabilities (long-term leases)
  • Deferred tax liabilities.
  • Pension and retirement benefit obligations.
  • Long-term provisions (e.g., for warranties or legal claims)
  • Notes payable (due beyond 12 months)
  • Convertible debt.

What does "non-current" mean?

Meaning of non-current in English

not happening or being used or made at the present time: I allow a couple of days to go by (so the date of the files is non-current) and then I delete them. The service provides quality parts for all our current and noncurrent product lines.

What are the 20 examples of current assets?

  • Cash and cash equivalents. Cash is simple: It's the money you have in the bank. ...
  • Marketable securities. If an asset trades on a public market and settles in less than three days, it's a marketable security. ...
  • Accounts receivable. ...
  • Inventory. ...
  • Operating supplies. ...
  • Prepaid expenses. ...
  • Other liquid assets. ...
  • Retail and ecommerce example.

What are the four current and non-current items?

Examples of current assets include cash, marketable securities, cash equivalents, accounts receivable, and inventory. Examples of noncurrent assets include long-term investments, land, intellectual property and other intangibles, and property, plant, and equipment (PP&E).

How to know if an asset is current or non-current?

Assets and classifications as current or non-current

If the asset will be used or consumed in one year or less, we classify the asset as a current asset. If the asset will be used or consumed over more than one year, we classify the asset as a noncurrent asset.

What are the 5 assets and 5 liabilities?

Examples of assets include cash, inventory, accounts receivable, property, equipment, investments, patents, trademarks, and goodwill. Liabilities encompass loans, mortgages, accounts payable, accrued expenses, deferred revenue, bonds payable, and lease obligations.