The historical value is the price the company paid to purchase the building or equipment even if it has a higher or lower current market value at today's prices. Payables are current liabilities that companies incur during the normal course of doing business . It can include expenses for finished products or general operating expenses not related to the production of a product or service. Long Term Debt is the amount of bond financing or other long term loan financing that must be paid off over a time greater than one year. Equity is the total value of what shareholders own within a company.
Shareholders own a companies retained earnings.
Please look for our coninuing series on Analyzing Annual Report .