Current Liabilities
According to Investopedia, current liabilities are "a company's debts or obligations that are due within one year. Current liabilities appear on the company's balance sheet and include short-term debt, accounts payable, accrued liabilities, and other debts." (2012)
Companies need to pay current liabilities within a year. They reflect bills not yet paid. If you see an account payable of $100, this means the company needs to pay this bill in the near future. When managers see numbers in this area, they need to ensure the business has enough cash to pay these bills.
Current liabilities. (2012). In Investopedia. Retrieved from
http://www.investopedia.com/terms/c/currentliabilities.asp#ixzz285aPiv1s
