Current Assets:
The current assets (also known as current accounts) represent all the organizations’ assets that are expected to be either consumed, exhausted, sold, or used by employing the standard procedures and business operations within a year. The current assets constitute various attributes like cash and cash equivalents, prepaid liabilities, liquid assets, marketable securities, and other stock inventories.
Current assets are short-term assets that are essential for running a business, either by paying for the daily expenses or by getting used during the business operations. These assets are capable of being liquidated at a fair price in a short-term period, often one year. Depending on the industry’s nature and the products or services marketed by an organisation, current assets can vary vastly.
