Spontaneous Current Liabilities

Spontaneous Current Liabilities

Short-term obligations that automatically increase and decrease in response to financing needs, such as accounts payable.

Spontaneous Current Liabilities

Liabilities that a company must pay within a year that arise automatically as a result of its daily operations. Examples of spontaneous current liabilities include accounts payable and the cost of goods sold. They often change as a result the company's sales. See also: Spontaneous liabilities, spontaneous assets.