Question: What is a mortgage payable?

Question: What is a mortgage payable? How mortgage payable is calculated?

Solutions

Expert Solution

Step 1: Definition of mortgage

Mortgage means the long-term loan that is taken on the house or property.

Step 2: Meaning of mortgage payable

Mortgage payable is a type of liability where the borrower secured its mortgage by asstes. The mortgage payable is the current portion of the mortgage that is due in one year. Mortgage reduces the risk of the lenders.

Long-term liability is a liability that is due in more than one year.

Sahil Dangi answered 2 years ago

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