Balance Sheet - Current Assets

Current assets are those assets which are immediately convertible into cash with a year, current assets also known as Liquid Assets or Floating Assets.

Current assets are those assets which are immediately convertible into cash with a year, current assets also known as Liquid Assets or Floating Assets. Current assets including Cash and cash equivalent, Account Receivable, that is money due to the company for goods or services sold and Inventories. Inventories would have become cash or receivables and present receivables would probably turn in cash.

Examples of Current Assets

Current assets are listed on balance sheet in the order of their liquidity.

Current assets are listed on balance sheet in the order of their liquidity, which mean the most liquid assets is shown first and follow the the subsequence items.

Cash and Cash Equivalents includes Cash on hand or in bank, certificates of deposit, marketable securities, government and municipal securities, special deposits, cash surrender value of insurance policies etc...

Receivables includes Account receivable, Notes Receivable, Interest Receivable etc...

Inventories includes Finished Goods, Work in progress, Materials and Supplies etc...