Accepted Net Current Assets; Determination

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Sec. 39. An entity shall do the following in determining accepted net current assets:

(1) Deduct receivables excluding retainage from nongovernmental agencies more than one (1) year old.

(2) Consider notes due not later than one (1) year from the date of the financial statement date to be current liabilities.

(3) Deduct any notes due more than twelve (12) and less than twenty-four (24) months from the date of the financial statement from net fixed assets, and deduct the excess, if any, from the book value of the equipment and net current assets.

(4) Not deduct notes due more than twenty-four (24) months after the date of the financial statement for prequalification purposes.

As added by P.L.85-1991, SEC.3.


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