13.5 Luxembourg Long-Term Debt (PCN Class 1)

PCN Class 1: Financement Permanent (Permanent Financing)

Class 1 contains equity and long-term financing.

Account Ranges:

• 100000-109999: Share Capital (Capital Social)
• 110000-119999: Reserves (Réserves)
• 120000-129999: Long-Term Debt (Emprunts)
• 130000-139999: Provisions (Provisions pour Risques et Charges)

Long-Term Debt Accounts (120000-129999)

Main Accounts:

• 120000: Long-Term Loans (Emprunts)
• 121000: Bonds Payable (Obligations)
• 122000: Mortgages (Hypothèques)
• 123000: Other Long-Term Debt (Autres Emprunts)

Luxembourg Compliance Note

PCN Class 1 requirements:

• Must use proper account classifications
• Must separate current and long-term portions
• Must maintain accurate records
• Must comply with PCN structure
• Must support all balances

Think It Through

How does proper PCN classification of long-term debt support accurate financial reporting?

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