Accounts Payable (AP) is a short-term debt account, representing a company's obligation to pay off a short-term debt to its creditors or suppliers.
Asset-Backed Commercial Paper (ABCP) refers to short-term debt instruments issued by financial institutions, which are backed by physical assets such as receivables, leases, or loans.
Asset-backed commercial paper (ABCP) is a short-term debt instrument issued by a special purpose vehicle (SPV) that is backed by various assets like trade receivables, auto loans, or other commercial assets.
Current liabilities are amounts owed by a business to other organizations and individuals that should be paid within one year from the balance-sheet date, including trade creditors, bills of exchange payable, and short-term loans.
Floating debt refers to short-term financial obligations that are continuously refinanced. It is commonly seen in both business and government sectors and includes instruments such as commercial paper and Treasury bills.
A negotiable note is a record of an unsecured loan, with the term 'note' preferred over 'bond' for principal sums repayable in less than five years.
A Note Issuance Facility (NIF) is a type of credit arrangement that allows for the issuance of short- to medium-term notes in the Eurocurrency market. It provides borrowers with the ability to secure short-term debt funding on a continuous or revolving basis.
Rediscounting refers to the process where a bank or financial institution sells short-term negotiable debt instruments, such as bankers' acceptances and commercial paper, which have already been discounted. This service involves the exchange of these instruments for a cash amount that has been adjusted to reflect the prevailing interest rate.
A Revenue Anticipation Note (RAN) is a short-term debt issue by a municipal entity, used to finance urgent needs and repaid with anticipated revenues such as sales taxes. Interest earned on RANs is generally tax-free for holders.
A short bond, also known as a short-term bond, refers to a bond with a short maturity period, generally meaning one year or less. These bonds are often classified as current liabilities under the accounting definition of short-term debt.
Short-term debt, also known as short-term liabilities, refers to debt obligations that are due for payment within one year from the date of the balance sheet. These are recorded under current liabilities, showcasing the financial obligations a company needs to settle in the near term.
A Tax Anticipation Bill (TAB) is a short-term debt obligation issued by the U.S. Treasury, primarily utilized by corporations to streamline their tax payments and manage liquidity.
A Tax Anticipation Note (TAN) is a short-term debt instrument issued by state or municipal governments to finance immediate expenditures by borrowing against projected tax revenues. TANs help even out cash flow across fiscal periods and are repaid once the corresponding tax revenues are collected.
