What is operating current assets?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter16: Working Capital Policy And Short-term Financing
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What is operating current assets?

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Definition & Explanation

Operating current assets are those short-term assets used to support the operations of a business. In most organizations, the key operating current assets are cash, accounts receivable, and inventory. Short-term assets that relate more to financing issues, such as marketable securities and assets held for sale, are not considered part of operating current assets.

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