Question

Is stock reagarded as fixed assets or current assets?

Answer 1

Stock is typically regarded as a current asset. This is because stock represents inventory that a company intends to sell within a year or the normal operating cycle of its business. Current assets are those assets that are expected to be converted into cash or consumed within one year. Fixed assets, on the other hand, are long-term tangible assets that are used in the production or operation of a business and are not intended for sale.