Apple's long-term (non-current) liabilities were $148,101 (in millions) on September 24, 2022. This was a decrease of $14,330 from the year before, when they totaled $162,431. At first glance, it would seem as though Apple did indeed pay off or restructure some of its debt during the 2022 fiscal year, given the fact that their long-term liabilities went down by over $14 billion. According to the consolidated statements of cash flows, the company made $9,543 in repayments of term debt. This term debt, which are non-current liabilities, contrasts with repayments of commercial paper, or current liabilities. The main difference between term debt in current liabilities vs long-term liabilities is time. Current liabilities are those which the company expects to pay off within a year, while long-term liabilities are those with repayment terms that are longer than a year. Based on the information given in note 7, it is unlikely that Apple will run into any major issues meeting its future long-term debt obligations. Apple has reported strong growth and revenue over the last several years. Also, the company managed to lower its total non-current term debt from the year before. If it continues on this trajectory, Apple will meet its financial obligations.
Apple's long-term (non-current) liabilities were $148,101 (in millions) on September 24, 2022. This was a decrease of $14,330 from the year before, when they totaled $162,431. At first glance, it would seem as though Apple did indeed pay off or restructure some of its debt during the 2022 fiscal year, given the fact that their long-term liabilities went down by over $14 billion. According to the consolidated statements of cash flows, the company made $9,543 in repayments of term debt. This term debt, which are non-current liabilities, contrasts with repayments of commercial paper, or current liabilities. The main difference between term debt in current liabilities vs long-term liabilities is time. Current liabilities are those which the company expects to pay off within a year, while long-term liabilities are those with repayment terms that are longer than a year. Based on the information given in note 7, it is unlikely that Apple will run into any major issues meeting its future long-term debt obligations. Apple has reported strong growth and revenue over the last several years. Also, the company managed to lower its total non-current term debt from the year before. If it continues on this trajectory, Apple will meet its financial obligations.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Accounting 2: add more to this and explain more
Transcribed Image Text:Apple's long-term (non-current) liabilities were $148,101 (in millions) on
September 24, 2022. This was a decrease of $14,330 from the year before, when
they totaled $162,431. At first glance, it would seem as though Apple did indeed
pay off or restructure some of its debt during the 2022 fiscal year, given the fact
that their long-term liabilities went down by over $14 billion. According to the
consolidated statements of cash flows, the company made $9,543 in repayments
of term debt. This term debt, which are non-current liabilities, contrasts with
repayments of commercial paper, or current liabilities. The main difference
between term debt in current liabilities vs long-term liabilities is time. Current
liabilities are those which the company expects to pay off within a year, while
long-term liabilities are those with repayment terms that are longer than a year.
Based on the information given in note 7, it is unlikely that Apple will run into any
major issues meeting its future long-term debt obligations. Apple has reported
strong growth and revenue over the last several years. Also, the company
managed to lower its total non-current term debt from the year before. If it
continues on this trajectory, Apple will meet its financial obligations.
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