Long Term Liabilities

The debts or liabilities which are payable after a long period of time normally more than one year are called long term liabilities.

Long-term liabilities area unit liabilities with a future profit over one year, like notes owed that mature longer than one year.

In accounting, the long-term liabilities are shown on the proper wing of the balance-sheet representing the sources of funds, that area unit generally bounded in form of capital assets.

Examples of long term liabilities are debentures, mortgage loans and different bank loans. (Note: Not all bank loans area unit future as not all are paid over a period greater than a year, Associate in Nursing example of this is a bridging loan.)

By convention, the portion of long-term liabilities that must be paid in the coming 12-month amount area unit classified as current liabilities. for example, a loan for which 2 payments of $1000 other due, one within the next twelve months other different after that date, would be 'split' into two: the first $1000 would be classified as a current liability, into account second $1000 as a long-term liability (note this example is simplified, and doesn't take into account any interest or discounting effects, required be required reckoning on the accounting rules).

Also "long-term liabilities" are a way to show that you have to pay one thing off in a very time period longer than one year. 

In accounting, a region of the balance sheet that lists obligations of the corporate that become due more than one year into the future. long-run liabilities items items like debentures, loans, postponed tax liabilities and pension obligations. The parts of long-run liabilities that will come due inside consequent 12 months are listed under current liabilities, like the current portion of long-run debt.