Noncurrent liabilities include debentures, long-term loans, bonds payable, deferred tax liabilities, long-term lease obligations, and pension benefit obligations. The portion of a bond liability that will not be paid within the upcoming year is classified as a noncurrent liability.

What are debentures in balance sheet?

Liabilities. Debenture bonds are liabilities of the company because they represent debts that will have to be repaid in the future. ... Because debenture bonds fall into this category, they are placed on the balance sheet in the long-term liabilities section.

Why debenture is asset?

Debentures are an instrument available to business lenders in the UK, allowing them to secure loans against borrowers' assets. Put simply, a debenture is the document that grants lenders a charge over a borrower's assets, giving them a means of collecting debt if the borrower defaults.