Which of the following must be disclosed relative to long-term debt maturities and sinking fund requirements? Entry field with incorrect answer The present value of scheduled interest payments on long-term debt during each of the next five years. The amount of scheduled interest payments on long-term debt during each of the next five years. The present value of future payments for sinking fund requirements and long-term debt maturities during each of the next five years. The amount of future payments for sinking fund requirements and long-term debt maturities during each of the next five years.

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Business

Harrison Patrick

10 August, 02:39

Which of the following must be disclosed relative to long-term debt maturities and sinking fund requirements? Entry field with incorrect answer The present value of scheduled interest payments on long-term debt during each of the next five years. The amount of scheduled interest payments on long-term debt during each of the next five years. The present value of future payments for sinking fund requirements and long-term debt maturities during each of the next five years. The amount of future payments for sinking fund requirements and long-term debt maturities during each of the next five years.

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Swanson · Answer 1

The amount of future payments for sinking fund requirements and long-term debt maturities during each of the next five years.

Explanation:

There are certain requirements of disclosures as per the GAAP. And accordingly, they have to be followed for each financial year for which books are to be prepared.

As for sinking fund, the books shall state the future liability also towards the sinking fund maintained, as how much payments has to be made.

Long term debts which are to be matured in the near future, are to be disclosed separately, near future here includes the debts getting matured within upcoming 5 years.