When it comes to the most common long-term liability, I would say that long-term debt has got to be one of the largest. This is the money a company borrows with terms of more than a year, often from a bank. This is an efficient way for many companies to fund their operations. When it comes to equity, I believe that stock is one of the most common forms of equity, especially at publicly traded companies. Since this is a representation of what people own in the company, it is likely to be larger than any other form of equity at most companies. Long-term liabilities can have a substantial impact on a company's financial stability. While having some long-term liabilities can help fund the company's operations, having too much can lead to a company that is constantly struggling to pay back its debts. Additionally, if a company already has too much debt it could be a serious challenge for them to find further financing options if they are needed. Which kinds of financial decisions might a company make based on their long-term liabilities and equity? How would an investment decision drive the use of long-term liabilities or equity