A Theory of Debt Maturity Form

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Let's talk about the maturity of debt instruments. Original maturity is the period from the issue date until the final contractually scheduled payment date. Remaining maturity, or residual maturity, is the period from the reference date, the balance sheet date, until the final contractually scheduled payment date. We can use a three-way classification to derive debt statistics on both original and remaining maturity bases. (a), short-term debt on an original maturity basis. (b), long-term debt due for payment within one year or less from the reference date. And (c), long-term debt due for payment in more than one year from the reference date. Short-term debt on an original maturity basis is debt payable on demand or with a maturity of one year or less. To derive short-term debt on a remaining maturity basis, the long-term debt that is due for payment within one year or less from the reference period is combined with short-term debt on an original maturity basis. Long-term debt on an o