Long term liabilities

Question 1

How should note payables under normal business circumstances that are less than one year be recorded?

Answer 1

Notes payables should be recorded at Face value

Question 2

How should note payables classified as long term liabilities be initially recorded?

Answer 2

Notes payables should be recorded at present value

Question 3

How should financial instruments in the form of stock shares that have an unconditional obligation for the issue to satisfy the obligation should be recorded?

Answer 3

This should be recorded as a liability.