Register now or log in to join your professional community.
Current assets are flexible in nature, easy to make cash , and floting money to company
whereas , Fixed assets are Fixed in nature, not easy to encash and regularly depreciated.
Differences as liquidity current assets more liquidity than fixed assetsAlso Current Assets service for short run activites like operational activities but Fixed Assets services long run activities like investment and Finance activities So it help to make classification for companies type as industrial companies if fixed assets is the major items like building and machines and has more fixed assets than trading companies has current assets more like inventory of goods