What are 'Other Current Assets - OCA'

A firm's assets that do not include cash, securities, receivables, inventory and prepaid assets, and can be convertible into cash within one business cycle, which is usually one year. Other current assets are listed on a firm's balance sheet, and are a component of a firm's total assets. Restricted cash or investments may be included in this figure.

BREAKING DOWN 'Other Current Assets - OCA'

There is a category of assets, in financial statements, that are called "current" because they can be considered when calculating a firm's ability to pay short-term liabilities. Inside these current assets there are certain subcategories you will usually find like "cash." Other current assets (OCA) are not common enough to have their own category. Instead, they are lumped into this generic "other" category.

The value of a company's other current assets may vary greatly from year to year depending on the health of the company and how it spends its money. It is important to determine how material these assets are, as they may distort a firm's liquidity. An example of another current asset would be a piece of property that is being readied for sale.

RELATED TERMS
  1. Current Assets

    A balance sheet account that represents the value of all assets ...
  2. Business Asset

    A piece of property or equipment purchased exclusively or primarily ...
  3. Permanent Current Asset

    The minimum amount of current assets a company needs to continue ...
  4. Long-Term Assets

    1. The value of a company's property, equipment and other capital ...
  5. Asset

    1. A resource with economic value that an individual, corporation ...
  6. Cash Asset Ratio

    The current value of marketable securities and cash, divided ...
Related Articles
  1. Managing Wealth

    What's an Asset?

    An asset is a resource with economic value.
  2. Managing Wealth

    Current Assets

    Current assets are all of the assets a company uses to fund its daily operations. These are the assets the company could convert into cash within a year in the normal course of business.
  3. Investing

    Reading The Balance Sheet

    Learn about the components of the statement of financial position and how they relate to each other.
  4. Managing Wealth

    Explaining Financial Assets

    A financial asset is intangible property that represents a claim on ownership of an entity or contractual rights to future payments.
  5. Investing

    Current Liabilities

    Current Liabilities are company debts due within one year or one operating cycle, whichever is greater. An operating cycle is the time it takes a company to purchase inventory and convert it ...
  6. Investing

    Assessing Bank Assets: Are Your Savings Safe?

    Learn how to determine if your assets are safe or if your bank has spread itself too thin.
  7. Investing

    What Are Quick Assets?

    A company’s quick assets can be easily converted into cash.
  8. Investing

    How To Evaluate A Company's Balance Sheet

    Asset performance shows how what a company owes and owns affects its investment quality.
  9. Investing

    Understanding Financial Liquidity

    Understanding how this measure works in the market can help keep your finances afloat.
RELATED FAQS
  1. Are current assets liquid or capital?

    Take a deeper look at liquid current assets for businesses and individuals, and learn how they differ from other types of ... Read Answer >>
  2. When are current assets converted to liquid assets?

    Understand the meaning of the accounting term ''current assets,'' and learn when and how current assets are converted into ... Read Answer >>
  3. What is the difference between current assets and fixed assets?

    Learn what current assets and fixed assets are, examples of current and non-current assets, and the differences between these ... Read Answer >>
  4. What is the difference between a fixed asset and a current asset?

    Discover the difference between fixed assets and current assets and the value of each to a company. Learn the category and ... Read Answer >>
  5. Are stocks real assets?

    Learn why stocks are classified as financial assets, not real assets. Understand the properties that determine whether an ... Read Answer >>
  6. How do you calculate working capital?

    The formula for calculating working capital is straightforward, but lends great insight into the shorter-term health of a ... Read Answer >>
Hot Definitions
  1. Federal Direct Loan Program

    A program that provides low-interest loans to postsecondary students and their parents. The William D. Ford Federal Direct ...
  2. Cash Flow

    The net amount of cash and cash-equivalents moving into and out of a business. Positive cash flow indicates that a company's ...
  3. PLUS Loan

    A low-cost student loan offered to parents of students currently enrolled in post-secondary education. With a PLUS Loan, ...
  4. Graduate Record Examination - GRE

    A standardized exam used to measure one's aptitude for abstract thinking in the areas of analytical writing, mathematics ...
  5. Graduate Management Admission Test - GMAT

    A standardized test intended to measure a test taker's aptitude in mathematics and the English language. The GMAT is most ...
  6. Magna Cum Laude

    An academic level of distinction used by educational institutions to signify an academic degree which was received "with ...
Trading Center