Question: What is the difference between a current liability and a long term liability? Question 6 options: A current liability represents an obligation that must be

What is the difference between a current liability and a long term liability?

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6

options:

A current liability represents an obligation that must be fulfilled today, and a long term liability represents an obligation that must be fulfilled after today.

A current liability represents an obligation that must be fulfilled within the next year, or accounting cycle, and a long term liability represents an obligation that must be fulfilled after a year.

A current liability represents an obligation that must be fulfilled within the next five years, and a long term liability represents an obligation that must be fulfilled after five years.

A current liability represents an obligation that must be fulfilled within the next two years, and a long term liability represents an obligation that must be fulfilled after two years.

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