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Current Liabilities - Maturation Dates and What Are They Suzie? Current liabilities are those obligations that will mature and must be paid within 12 months. These are liabilities that can create a company's insolvency if cash is inadequate. A happy and satisfied set of current creditors is a healthy and important source of credit for short term uses of cash (inventory and receivables). An unhappy and dissatisfied set of current creditors can threaten the survival of the company. The best way to keep these creditors happy is to keep their obligations current. Current liabilities consist of the following obligation accounts: Accounts Payable -- Trade (A/P) Accrued Expenses Notes Payable -- Bank (N/P Bank) Notes Payable -- Other (N/P Other) Current Portion of Long term Debt Proper matching of sources and uses of funds requires that short term (current) liabilities must be used only to purchase short term assets (inventory and receivables). Tomorrow I'll be speaking about Notes payable. Stay tuned right here. best of luck in your business. Suzie Posted: Monday 24th January 2005, 12:25 AM

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