Under which heading the item ‘Bills Discounted but not yet matured’ will be shown in the Balance Sheet of a company?

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KollegeApply · Accepted Answer

Contingent Liabilities Explanation: Bills discounted but not yet matured represent bills receivable that the company has discounted with the bank, but the payment from the customer is still pending. If the customer defaults, the company will be liable to the bank hence, it is a possible obligation, not an actual one.

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