currentnoncurrent

Currentnoncurrent is not a single standard term in accounting, but it commonly refers to the classification of items on financial statements into current (short-term) and noncurrent (long-term) categories. This split helps users assess liquidity, operating cycle timing, and long-term solvency. Most frameworks present these classifications for both assets and liabilities.

Current assets are assets expected to be realized or consumed within the entity’s normal operating cycle or within 12 months, whichever is longer. Examples include cash and cash equivalents, accounts receivable, inventories, and prepaid expenses. Noncurrent assets, by contrast, are resources not expected to be realized or consumed within a year, such as property, plant and equipment; intangible assets; long-term investments; and goodwill.

Current liabilities are obligations due to be settled within the same 12-month horizon or operating cycle. These include accounts payable, short-term borrowings, accrued expenses, and the current portion of long-term debt. Noncurrent liabilities are obligations that extend beyond one year, such as long-term debt, lease liabilities, and deferred tax liabilities.

In practice, most balance sheets present current items first, followed by noncurrent items. Some assets classified as held for sale may be shown separately and measured at the lower of carrying amount and fair value less costs to sell. Classification can change if expectations about realization or settlement change. While terminology may vary, both IFRS and GAAP use the current/noncurrent framework to convey liquidity and long-term financial position.