By Raúl Gorrín.- A current asset is the liquid asset at the moment of an economical closing exercise, in other words, to be convertible into money within one year. Plus, in this category, assets serve for payment to current liabilities.
As part of current assets, we find out inventories, the commercial debtors and other accounts receivable, as well as short term financial investments and treasury.
Current assets, is an essential factor for good management for organizations. They can be liquid asset promptly and they are available for be used by companies.
It exist some types of current assets. The first one, is the cash register, it shows into cash, like inside the own company or current accounts on it or the banks that the company works. The second one, are the clients that have to pay to the company products, service or works done.
Apart from that, inventories have a value in economics terms that could separate if we talk about accounting department. Also, current assets it’s important for renting, salary, services pay and many more. That’s why, is very important for all the companies to manage everything about current asset since many times, it depends to be actives. Moreover, it matters the policy and strategy for invoice collection.
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