Prepaid expenses ARE a current asset, but only the part you use within 12 months. The rest is non-current. Pay $12,000 for a year of insurance in January and $12,000 sits as a current asset, then $1,000 moves to expense each month. Pay for 2 years and the second year is non-current.
Read the full guide: https://www.claritywithai.org/2026/08/prepaid-expenses-current-asset-gaap-vs-ifrs.html
Also read: https://www.claritywithai.org/2026/12/what-is-a-1099-form.html
1099 hub: https://www.claritywithai.org/p/1099-forms-explained-complete-guide-for.html