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Data Science and Python Training Program for Everyone(Age=10yrs to 70yrs)

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FLOATING ASSETS

Those assets which are bought, manufactured or held for selling purpose are called floating assets. Floating assets is also known as current assets. In accounting, a floating asset is any asset which can reasonably be expected to be sold, consumed, or exhausted through the normal operations of a business within the current fiscal year or operating cycle or financial year. Typical floating assets include cash, cash equivalents, short-term investments which in the ordinary activity are mainly related to non-strategic companies in the process of being sold, accounts receivable, stock inventory, supplies, and the portion of prepaid liabilities which will be paid within a year. In simple words, assets which are held for a short period are known as floating assets. Such assets are expected to be realized in cash or consumed during the normal operating cycle of the business. On a balance sheet, assets will typically be...