Short-term financial
assets are included among the current assets of an enterprise. We distinguish
between cash in hand, cash at bank and short-term securities. Cash items are
measured at their nominal value, while short-term securities are measured by
the historical costs (acquisition price). Short-term securities are measured at
fair values, however it should be stated that it is quite difficult to measure
the fair values of shares because of not very transparent stock exchange in the
Czech Republic (Prague Stock Exchange).
