Fleeson Company needs additional funds to purchase equipment for a new production facility and is considering either issuing bonds payable or borrowing the money from a local bank in the form of an installment note. How does an installment note differ from a bond payable?

9. In what section of the balance sheet would a bond payable be reported if

(a) it is payable within one year and

(b) it is payable beyond one year?

AppendixLO1