Difference between revisions of "Current Assets"
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== Definition == | == Definition == | ||
'''Current Assets'''. They are valuable assets (resources or property) of an organization that will be turned into cash within one year, or used up in the operation of the organization within one year. | '''Current Assets'''. They are valuable assets (resources or property) of an organization that will be turned into cash within one year, or used up in the operation of the organization within one year. | ||
| + | |||
| + | More specifically, current assets are assets that are<ref>IAS 1.66</ref> | ||
| + | |||
| + | * expected to be realised in the entity's normal operating cycle | ||
| + | * held primarily for the purpose of trading | ||
| + | * expected to be realised within 12 months after the reporting period cash and | ||
| + | * cash equivalents (unless restricted). | ||
| + | |||
They include | They include | ||
| Line 12: | Line 20: | ||
== See Also == | == See Also == | ||
* [[Non-current Assets]] | * [[Non-current Assets]] | ||
| + | * [[Current Liabilities]] | ||
| + | |||
| + | == References == | ||
| + | <references/> | ||
[[Category:Accounts Main]] | [[Category:Accounts Main]] | ||
Revision as of 00:15, 1 April 2021
Definition
Current Assets. They are valuable assets (resources or property) of an organization that will be turned into cash within one year, or used up in the operation of the organization within one year.
More specifically, current assets are assets that are[1]
- expected to be realised in the entity's normal operating cycle
- held primarily for the purpose of trading
- expected to be realised within 12 months after the reporting period cash and
- cash equivalents (unless restricted).
They include
- Cash
- Government Bonds
- Marketable Securities and notes
- Accounts Receivable
- Inventory, and
- prepaid expenses.
See Also
References
- ↑ IAS 1.66
