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2. How Accounts Payable Are Recorded on a Balance Sheet - AOL

   www.aol.com/accounts-payable-recorded-balance...

   For example, the accounts payable amount of $500 for a tool purchase belongs on the liabilities side of the balance sheet. But the value of the tool itself belongs on the assets side of the ...

3. Current ratio: What it is and how to calculate it - AOL

   www.aol.com/finance/current-ratio-calculate...

   The current ratio shows a company’s ability to meet its short-term obligations. ... leaving too much unused cash on its balance sheet. The current ratio should be placed in the context of the ...

4. Debt-to-equity ratio - Wikipedia

   en.wikipedia.org/wiki/Debt-to-equity_ratio

   However, the ratio can be more discerning as to what is actually a borrowing, as opposed to other types of obligations that might exist on the balance sheet under the liabilities section. For example, often only the liabilities accounts that are actually labelled as "debt" on the balance sheet are used in the numerator, instead of the broader ...

5. Cash and cash equivalents - Wikipedia

   en.wikipedia.org/wiki/Cash_and_cash_equivalents

   Current ratio is generally used to estimate company's liquidity by "deriving the proportion of current assets available to cover current liabilities". The main idea behind this concept is to decide whether current assets which also include cash and cash equivalents are available pay off its short term liabilities (taxes, notes payable, etc.)

6. Liability (financial accounting) - Wikipedia

   en.wikipedia.org/wiki/Liability_(financial...

   Current liabilities – these liabilities are reasonably expected to be liquidated within a year. They usually include payables such as wages, accounts, taxes, and accounts payable, unearned revenue when adjusting entries, portions of long-term bonds to be paid this year, and short-term obligations (e.g. from purchase of equipment). Current ...

7. Understanding Current Assets: Definition, Types and ... - AOL

   www.aol.com/understanding-current-assets...

   The current ratio divides current assets by current liabilities. For instance, Alphabet’s Q2 2024 balance sheet had $162.0 billion in current assets compared to $77.9 billion in current liabilities.