Definitions from the Web
Current Liabilities
Definition:
Current liabilities refer to the short-term financial obligations of a company that are expected to be settled within one year or the company's operating cycle. They are typically recorded on the balance sheet and include accounts payable, short-term loans, accrued expenses, and other obligations that require payment in the near future.
Sample Sentences:
- The company's current liabilities include accounts payable, salaries payable, and accrued taxes.
- It is essential for investors to analyze the current liabilities of a company to assess its short-term financial health.
- When calculating the current ratio, current liabilities are divided by current assets to measure a company's ability to meet its short-term obligations.
Possible Related Products:
Books about Current Liabilities
Software for Managing Current Liabilities |