Component |
Description |
Accounts Payable |
The total amount a company owes to its suppliers. |
Short-Term Debt |
The total amount of debt that is due within one year. |
Accrued Liabilities |
Expenses that have been incurred but not yet paid. |
Other Current Liabilities |
Other short-term obligations. |
Total Current Liabilities |
The sum of all current liabilities. |
Formula |
Total Current Liabilities = Accounts Payable + Short-Term Debt + Accrued Liabilities + Other Current Liabilities |
Purpose |
Used to measure a company’s short-term financial obligations. |