A company has to have enough money to cover its short-term expenses if it wants to be successful, and in order to plan for those expenses, it needs to know what they are. The concept of current ...

Asset management is an integral part of accounting basics that deals with the monitoring and maintenance of valuable items owned by an individual or an entity. Assets contribute significantly to the ...

usiness firms use a financial analysis technique called asset vs. liability management (ALM) to mitigate risk due to a mismatch in their assets and liabilities. A mismatch occurs when assets and ...

A liability is a financial obligation or debt owed. Liabilities are key elements on every company’s balance sheet, and therefore, important to stock and bond investors. Learn more. In finance and ...

Consumers are most likely to encounter balloon-type debt in the form of balloon mortgages. If you have a balloon mortgage, you make relatively small monthly payments. At the end of the repayment ...

Debt is a liability that a company incurs when running its business. The debt ratio gives company leaders insight into the financial strength of the company. This ratio is calculated by taking total ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Current liabilities are debts due within a year, including accounts payable and short-term loans. A high current ratio, above 1, suggests a company can meet short-term financial obligations. Investors ...