ACCT500 Wk2
Mike Mike
Wk2discussions.docxCurrent and Non-Current Assets and Liabilities
Q.1 Can we compare and contrast current assets and non-current assets? - discuss
Q.2 Can we compare and contrast current liabilities and non-current liabilities? - discuss
Q.3 Write a reply to responses for this article
Professor and class,
Current assets are assets that are expected to be converted to cash within a year. Noncurrent assets are those that are considered long-term, where their full value won't be recognized until at least a year. The primary determinant between current and noncurrent assets is the anticipated timeline of their use. Current and noncurrent assets are listed on the balance sheet. They appear as separate categories before being summed and reconciled against liabilities and equities.
Examples of current assets include:
Cash and cash equivalents Accounts receivable Prepaid expenses Inventory Marketable securities
Examples of non-current assets include:
Land Property, plant, and equipment (PP&E) Trademarks Long-term investments Goodwill
Q.4 Write a reply to responses for this article
Professor and Class-
How are current assets different from non-current assets? Can you provide an example of each?
Current Assets are those assets that expect to be used or consumed within one year of the balance sheet date and consist of cash and cash deposits made to the bank, coins, currency, checks, money orders and travelers checks. These forms of payments can change hands quickly and are also know as liquid assets. A liquid asset is a reference to cash on hand or can be readily converted to cash. An asset can readily be converted into cash and can be sold with little impact on its value. https://www.investopedia.com (Links to an external site.) .
Non Current Assets can be defined as any asset that is expected to be held for the whole year, not sold or exchanged such as real estate, machinery,, or patent. https://financial-dictionary.thefreedictionary.com/noncurrent+asset (Links to an external site.) . Property, Plant, and Equipment, commonly referred to as PPE, are examples of non current assets that are not easily liquidated.
Q.5 Write a reply to responses for this article
Can we compare current assets and non-current assets? – Current assets are assets (property owned by the company as discussed in our prior class) to be converted to cash within a year. (i.e. Accounts receivable and inventory) while noncurrent assets are land and goodwill which are assets that our not so easily converted immediately. Both of course, of great value to the company.
Can we compare and contrast current liabilities and non-current liabilities? – discuss
Current liabilities are also known to be short – term liabilities. They are liabilities that are payable within one year. Non current liabilities (long term) are liabilities that ar due after a year or longer depending on the way the liability was agreed to getting paid (i.e. Line of Credit/mortgage)
Current and Non
-
Current Assets and Liabilities
Q.1
Can we compare and contrast current assets and non
-
current
assets?
-
discuss
Q.2
Can we compare and contrast current liabilities and non
-
current liabilities?
-
discuss
Q.3
Write a
reply to
responses
for this
article
Professor and class,
Current assets are assets that are expected to be converted to cash within a year. Noncurrent
assets are those that are considered long
-
term, where
their full value won't be recognized until at
least a year.
The primary determinant between current and noncurrent assets is the anticipated
timeline of their use. Current and noncurrent assets are listed on the balance sheet. They appear
as separate cate
gories before being summed and reconciled against liabilities and equities.
Examples of current assets include:
Cash and cash equivalents
Accounts receivable
Prepaid expenses
Inventory
Marketable securities
Examples of non
-
current assets include:
Land
Prop
erty, plant, and equipment (PP&E)
Trademarks
Long
-
term investments
Goodwill
Q.4
Write a
reply to
responses
for this
article
Professor and Class
-
How are current assets different from non
-
current assets? Can you provide an example of each?
Current Assets are those assets that expect to be used or consum
ed within one year of the balance
sheet date and consist of cash and cash deposits made to the bank, coins,
currency,
checks,
money orders and travelers checks. These forms of payments can change hands quickly and are
also know as liquid assets.
A liquid a
sset
is a reference to cash on hand or can be readily
converted to cash. An asset can readily be converted into cash and can be sold with little impact
on its value.
https://www.investopedia.co
m
(Li
nks
to
an
external
site.
)
.
Non Current Assets can be defined as any asset that is expected to be held for the whole year, not
sold or exchanged such as real estate, machinery,, or patent.
https://financial
-
dictionary.thefreedictionary.com/noncurrent+asse
t
(Links
to
an
external
site.
)
.
Property, Plant,
and Equipment, commonly referred to as PPE, are
examples of non current assets that are not
easily liquidated.
Current and Non-Current Assets and Liabilities
Q.1 Can we compare and contrast current assets and non-current assets? - discuss
Q.2 Can we compare and contrast current liabilities and non-current liabilities? - discuss
Q.3 Write a reply to responses for this article
Professor and class,
Current assets are assets that are expected to be converted to cash within a year. Noncurrent
assets are those that are considered long-term, where their full value won't be recognized until at
least a year. The primary determinant between current and noncurrent assets is the anticipated
timeline of their use. Current and noncurrent assets are listed on the balance sheet. They appear
as separate categories before being summed and reconciled against liabilities and equities.
Examples of current assets include:
Cash and cash equivalents
Accounts receivable
Prepaid expenses
Inventory
Marketable securities
Examples of non-current assets include:
Land
Property, plant, and equipment (PP&E)
Trademarks
Long-term investments
Goodwill
Q.4 Write a reply to responses for this article
Professor and Class-
How are current assets different from non-current assets? Can you provide an example of each?
Current Assets are those assets that expect to be used or consumed within one year of the balance
sheet date and consist of cash and cash deposits made to the bank, coins, currency, checks,
money orders and travelers checks. These forms of payments can change hands quickly and are
also know as liquid assets. A liquid asset is a reference to cash on hand or can be readily
converted to cash. An asset can readily be converted into cash and can be sold with little impact
on its value. https://www.investopedia.com (Links to an external site.).
Non Current Assets can be defined as any asset that is expected to be held for the whole year, not
sold or exchanged such as real estate, machinery,, or patent. https://financial-
dictionary.thefreedictionary.com/noncurrent+asset (Links to an external site.). Property, Plant,
and Equipment, commonly referred to as PPE, are examples of non current assets that are not
easily liquidated.
