What are current assets what kinds of item can you find in the workplace that could be considered to be current assets?

Answer 1

Current assets are those assets that can be easily converted into cash within a short period, generally within one year. These assets are expected to be used up, sold, or converted into cash within the normal operating cycle of a business. Some examples of current assets that can be found in the workplace are:

1. Cash and Cash Equivalents: This includes currency, coins, checks, and any other form of legal tender available in the company's cash register, cash drawer, or bank accounts.

2. Marketable Securities: Investments such as stocks, bonds, mutual funds, or Treasury bills that can be easily sold or converted into cash.

3. Accounts Receivable: Money owed to the company by customers or clients for goods or services provided on credit.

4. Inventory: The value of the finished goods, work in progress, or raw materials held by the company for manufacturing, sale, or consumption.

5. Prepaid Expenses: Payments made in advance for goods or services that will be consumed or utilized within the next year, such as prepaid rent, insurance, or subscriptions.

6. Short-term Investments: Investments or securities that will be converted into cash within one year, such as certificates of deposit (CDs) or money market funds.

7. Marketable Products: Finished goods or products that are ready for sale or currently in the process of being sold.

8. Supplies: Physical items used in the day-to-day operations of a business, such as office supplies, stationery, or cleaning materials.

It's important to note that the specific current assets present in a workplace can vary depending on the nature of the business and industry.