Enter the trade payables, short term loans, current portion of long term loans, notes payable, accrued expenses, prepaid revenues, and other short term debts to determine the current liabilities.
Current Liabilities Formula
The following formula is used to calculate current liabilities.
L = TP + STL + CPLTL+ NP + AE + PR + STD
- Where L is the current liabilities
- TP is the trade payables
- STL is short term loans
- CPLTL is the current portion of long term loans
- NP is the notes payable
- AE is the accrued expenses
- PR is the prepaid revenues
- STD is other short term debt
Current Liabilities Definition
The current liabilities is defined as all liabilities that are owed during the current time period.
FAQ
What is current liabilities?
Current liabilities are all the liabilities that are applicable for the current time period. Usually this time period is either a year or quarter. For example, it would be all of the liabilities for an entire year.
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