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Current assets definition

What is the definition of "current assets"? 
Current assets are cash and any other assets that can be converted into cash or used in business operations in a short period, generally less than one year. Current assets are found on the balance sheet. Examples of current assets include:

- Cash and equivalents
- Short-term investments
- Prepaid expenses
- Accounts receivable
- Inventories

Current assets represent a measure of liquidity for a business and, consequently, are also called liquid assets. Lenders often looks at the current asset level first when considering a loan application. 
Brain Trust contributor: Author of Instant Profits: Making Your Business Pay
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