Financial Statement Presentation

  • Report non-current liabilities on the balance sheet

 

Ford Credit debt payable within one year (Note 20)51,17952,371Ford Credit long-term debt (Note 20)88,88787,658Deferred income taxes (Note 7)597490

FORD MOTOR COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in millions)
Description December 31, 2018 December 31, 2019
Subcategory, LIABILITIES
Payables $     21,520 $     20,673
Other liabilities and deferred revenue (Note 17) 20,556 22,987
Automotive debt payable within one year (Note 20) 2,314 1,445
Other debt payable within one year (Note 20) 130
Liabilities held for sale (Note 24) 526
      Total current liabilities Single line
95,569
Single line
98,132
Other liabilities and deferred revenue (Note 17) 23,588 25,324
Automotive long-term debt (Note 20) 11,233 13,233
Other long-term debt (Note 20) 600 470
      Total liabilities Single line
220,474
Single line
225,307

 

You can probably see some of the inter-relationships between current and non-current liabilities. The most notable is that long-term debt includes a current portion that has to be split out on the face of the financial statements. It is usually entitled “current portion of long-term debt”, but on the Ford Motor Company balance sheet, it is conveniently called “debt payable within one year” and is detailed in Note 20.

In addition, note the amount of $25.324 billion reported as “Other liabilities and deferred revenue: is detailed in Note 17 (along with details of the current other liabilities of $22.987 billion):

Accrued interest9881,128OPEB5,2205,740

NOTE 17. OTHER LIABILITIES AND DEFERRED REVENUE
     Other liabilities and deferred revenue at December 31 were as follows (in millions):
Description 2018 2019
Subcategory, Current
Dealer and dealers’ customer allowances and claims $     11,369 $     13,113
Deferred revenue 2,095 2,091
Employee benefit plans 1,755 1,857
OPEB 339 332
Pension 204 184
Operating lease liabilities 367
Other 3,806 3,914
      Total current other liabilities and deferred revenue Single line
$     20,556Double line
Single line
$     22,987Double line
Subcategory, Non-current
Pension $     9,423 $     9,878
Dealer and dealers’ customer allowances and claims 2,497 1,921
Deferred revenue 3,985 4,191
Operating lease liabilities 1,047
Employee benefit plans 1,080 1,104
Other 1,383 1,443
      Total non-current other liabilities and deferred revenue Single line
$     23,588Double line
Single line
$     25,324Double line

 

The Pension and OPEB (other post-employment benefits, such as health insurance) are long-term liabilities because they represent the present value of the future payments to employees who have or will retire and qualify for company benefits.

On the income statement, for finance leases, interest on the finance right-of-use liability and amortization (depreciation) on the finance right-of-use asset are presented in the same manner as the entity presents all other interest and depreciation expenses on similar assets. For operating leases, lease expense is included in the operating expenses.