Operating current liability
Operating current liability is the current liability that is a natural consequence of the firm's operations, such as accounts payable and accruals. It does not include notes payable or any other shortterm debt that charges interest.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Operating current liabilities. The current liabilities that are a natural consequence of the firm's operations, such as accounts payable and accruals. It does not include notes payable or any other shortterm debt that charges interest.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
