1. Assets = current assets + noncurrent assets
2. Current assets
Assets that are expected to be converted into cash within (A) or (B), whichever is longer
(A) one year
(B) normal operating cycle
3. Noncurrent assets
Assets that are expected to be converted into cash after (A) or (B), whichever is longer
(A) one year
(B) normal operating cycle
4. Examples of current assets
Cash
Accounts receivable, due within one year
Notes receivable, due within one year
Prepaid expenses
Inventories
Short-term loans, due within one year
Current portion of long-term loans
Trading securities
Available for sale securities, to be sold within one year
Held to maturity securities, due within one year
5. Examples of noncurrent assets
Accounts receivable, due after one year
Notes receivable, due after one year
Long-term loans, due after one year
Available for sale securities, to be sold after one year
Held to maturity securities, due after one year
Property, plant and equipment
Intangible assets
2. Current assets
Assets that are expected to be converted into cash within (A) or (B), whichever is longer
(A) one year
(B) normal operating cycle
3. Noncurrent assets
Assets that are expected to be converted into cash after (A) or (B), whichever is longer
(A) one year
(B) normal operating cycle
4. Examples of current assets
Cash
Accounts receivable, due within one year
Notes receivable, due within one year
Prepaid expenses
Inventories
Short-term loans, due within one year
Current portion of long-term loans
Trading securities
Available for sale securities, to be sold within one year
Held to maturity securities, due within one year
5. Examples of noncurrent assets
Accounts receivable, due after one year
Notes receivable, due after one year
Long-term loans, due after one year
Available for sale securities, to be sold after one year
Held to maturity securities, due after one year
Property, plant and equipment
Intangible assets
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