A maturity table begins with contractual principal due, grouped into the required periods. Coupon interest, accrued interest, unamortized discount or premium, and issuance costs do not silently become principal maturities.
Reconcile the contractual table to the recognized net liability through a separate bridge. That difference is explainable; it is not an error to hide by changing the maturity amounts.
Start with contractual principal
ASC 470-10-50-1 requires the combined maturities and sinking-fund requirements for long-term borrowings for each of the five years after the latest balance-sheet date. The table therefore begins with contract dates and principal amounts.
Suppose a $2,000,000 bond matures in year four and its reporting-date carrying amount is $1,930,000. The maturity column still shows $2,000,000 in year four. A separate bridge explains the $70,000 net discount and issuance-cost balance. Coupon interest and accrued interest are not principal maturities. Current classification is also a separate presentation conclusion.
Put the concept to work
Analyze this concept
- Build a contractual principal maturity schedule, identify current portions, and reconcile it to net carrying amount without substituting interest or discount balances for principal due.
Learning resources
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Build on these ideas
- Current portion of long-term debt — Apply
To analyze this concept: Required. Current presentation and maturity disclosure share dates but answer different questions.