Start networking and exchanging professional insights

Register now or log in to join your professional community.

Follow

Is long term debt an operating liability?

user-image
Question added by Ahmed Saeed , Supply Chain and Purchasing Manager , Tuff Gear Ltd.
Date Posted: 2014/01/15
Ahmed Hamdy Mohamed Mohamed Mohamed
by Ahmed Hamdy Mohamed Mohamed Mohamed , Assistant Financial Manager , El Shahd Contracting, Export and Import

No

mukkur srinivasan varadhan
by mukkur srinivasan varadhan , Chartered Accountant , Chartered Accountant in practice

In one school of thought , a part of the long term liability can be utilised for meeting a portion of working capital needs. To that extent, yes operating liability. Over and above this is to meet cost of long term assets only. this part no not operating liability.

More Questions Like This