When doing the liabilities side, I see that debt is not included, short and long term that is, and short term notes payable r not included…are accounts payables included or excluded from the calculation?
Maybe the best way to think about it is if it’s interest bearing, it’s not an op liab, but non-interest bearing liab like acct payable, wage payable, unearned rev, are op liabs.
accounts payable are included as far as I know, since most balance sheets generally separate out short-term debt and a/p
yup thanks for te response you are correct I just found it I’m a schweser example
Company is essentially A = L + E
NOA is just
(1) strip off non-operating components ie. assets related to investing activities ie. cash, cash equivalents and marketable securities from the left hand side Total Assets
(2) strip off non-operating components related to financing activties ie. equity & interest-bearing liabilites from the right hand side of the equation L + E
(3) Net off the operating assets derived from (1) with operating liabilities derived from (2), and you get NOA