The Fasb Sets Out to Improve Guidelines to Resolve Issues in a Timely Manner.

The current assets for Motorola are listed in the proper order. The balance sheet should consist of the current assists listed in this order.

* Cash and Cash equivalents - Cash including checking accounts, saving accounts, and any cash on hand. Cash equivalents are short term bonds and money market accounts that can be liquefied quickly.

* Accounts receivable and notes receivable – Accounts receivable are the accounts that have been invoiced and the money is due to the company on terms generally a net 10, 20, or 30. Notes receivable are terms that are due within a year. Terms are set up on a payment plan to repay the debt from the purchase.

* Inventory – Inventory is the merchandise you have on hand that has not been sold or used. One of Motorola’s inventory items would be electronics, and cellular phones.

* Prepaid expenses – Prepaid expenses are anything that the company paid for in advance for either the service or insurance’s.

Noncurrent assets are assets that cannot be turned into cash easily defined as assets having a life going beyond one year.

* Fixed Assets – Long term may include investments, stocks, and bonds lasing over one year.

* Property and Plant equipment – Land, buildings, property, equipment and vehicles.

* Intangible assets – Intangible assets include copyrights and trademarks, company’s good will, development, stock, and organization costs and development and research.

Motorola’s assets are classified as current assets, net property, plant equipment, and long term assets. Motorola has both tangible and intangible assets. Tangible assets are assets that have an existence such as cash, equipment, building, and land. Nontangible assets are assets that have value but cannot be touched such as trademarks, and goodwill. Motorola’s intangibles for 2010 were 2.83 billion dollars.

References

The Business Plan Store. (Aug. 9, 2011). thebusinessplanstore.com. Retrieved from...