Is mortgage a liability or non current liablility?

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2026-04-02 08:20

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A mortgage is classified as a non-current liability on a balance sheet because it typically involves a long-term loan secured by property, with repayment terms extending beyond one year. It represents a financial obligation that the borrower must repay over time, making it a liability. While part of the mortgage may include current portions due within the next year, the overall mortgage balance is considered a non-current liability.

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