If you drink a large (250ml) glass of wine, your body takes about three hours to break down the alcohol. If you drink one pint of beer, your body takes about two hours to break it down. One pint of strong lager is equivalent to three units, so this will take longer.
General Asset Differences. As a current asset, inventory is different from long-term assets in that it is typically acquired and sold within twelve months. Accounts receivable, cash and other marketable securities are other examples of current assets.
Because of the cost principle, inventory is reported on the balance sheet at the amount paid to obtain (purchase) the merchandise, not at its selling price. Inventory is also a significant asset of manufacturers. However, in order to simplify our explanation, we will focus on a retailer.