Acct/400 Week One Individual

Erin Woods ACC/400 November 7, 2011 Lane Groff Current and Non flow Assets typography Introduction To survive both(prenominal) individuals and companies must make money. Money or hard hard change is necessary to pay such bills and life sentence expenses such as rent, mortgage, utilities, and food. erstwhile the interchange is earned it must be determined where to happen it. Aside from keeping cash at home and at a lower institutionalize the mattress there argon more other choices for safekeeping. The funds may be put into certificates of set or bonds, or tied(p) be accustomd to buy other investments such as homes or cars. These are called pluss and some keister be tougher to veer back to cash then others. Current and Noncurrent Assets When a company or individual earns money he or she must resolve what to do with it. There are many options including spending, saving, or investing. These options pearl into two categories which are calle d current assets and outdated assets. According to Kimmel current assets consist of cash and other resources that companies can reasonable pay to convert to cash or use up in spite of appearance a year or run cycle depending on which is persistenter(Kimmel, 2007). Current assets can be pass judgment to be easily spent when the individual needs the funds.

A bear is an example of a current asset because it is very truthful for an individual to take the item to the bank and own cash in return. On the contrary a dead asset is an asset that does not convert to cash easily. It result likewise be considered a noncurrent asset if it is deemed unbelievable to make do or be able to convert to cash deep down a years time(K! immel, 2007). Examples of noncurrent assets allow in property or even certificates of bewilder. This is because it is not as washy to turn these items into cash. With a house there is a enormous complicated process involved to sell it for cash. The same goes with certificates of deposit as there is often a predetermined sequence of time the funds must remain locked in. The longer the certificates usually...If you deprivation to get a full essay, order it on our website: OrderEssay.net

If you want to get a full information about our service, visit our page: write my essay