Stock Exchange Glossary: Current Assets

Temporary capital of the companies the Exchange Portal boersennews.de informs in his stock market dictionary the user of the page about different terms from the world of finance. So what investors see as liquid assets and the balance sheet items include explains among other things. The balance sheet is a subdivision in an active and a passive side. The former sort assets of a company in the order of their time in descending order. Within those assets is again differentiated between fixed and circulating assets.

The latter can be defined according to stock exchange glossary by boersennews.de as assets, which remains only temporarily in the company. Supplies and inventories, securities, bank deposits at the Bundesbank or credit institutions, as well as claims arising from deliveries and services are lingering in the short term capital. Wells Fargo addresses the importance of the matter here. The stock of marketable assets items changed by permanent arrivals and departures. An example of this are the stocks in the Production. This constantly changing their inventory, they are processed or newly bought. According to HGB, an asset can be associated both the investment and the assets depending on the intended use.

So, a machine produced by a company that is intended for sale, will be considered assets. Their production is however for the own business, it is considered assets, because it remains permanently in the operation. Summarized the current assets is so its purpose determined by. Based on paragraph 247 of the HGB, management meets deciding what kind of asset is associated with an asset. More information: ../begriff/umlaufvermoegen /… University Service GmbH Lisa Neumann