Liabilities

1. Current liabilities: Liabilities that are expected to be paid within a year or normal operating cycle, whichever is longer.
2. Accounts payable, notes payable, salaries payable, interest payable, current maturities of long-term debt.
3. Sales taxes payable, payroll taxes payable, income taxes payable.

1. Current liabilities
2. Non-current liabilities

1. Types of bonds: Callable bonds, convertible bonds, secured bonds.
2. Issuance of bonds at face value (at 100): No discount or premium on bonds payable is recorded.
3. Issuance of bonds at a discount (e.g. at 95): Discount on bonds payable is recorded on debit side.
4. Issuance of bonds at a premium (e.g. at 105): Premium on bonds payable is recorded on credit side.
5. Amortization of discount and premium on bonds payable: Straight-line method, effective interest method
6. Retirement of bonds payable