Which of the following is included within current assets on a balance sheet?

Question

BlackTom AI · Accepted Answer

To answer this question, we first recall what counts as a current asset on a balance sheet. 
Option 1: Inventory. Inventory is typically sold within a short period and is considered a current asset because it is expected to be converted into cash within one operating cycle or within a year. 
Option 2: Long-term investments. These are assets not expected to be converted into cash within one year and thus are classified as non-current or long-term investments. 
Option 3: Intangible assets. Examples include patents, copyrights, and goodwill; these are also non-current assets because they provide value over a longer horizon and are not expected to be converted to cash within a year. 
Option 4: Land. Land is a fixed asset and part of non-current assets since it is not readily convertible to cash and is held for long-term use or investment. 
In summary, current assets are assets likely to be converted into cash within one year, and among the choices, only Inventory fits that criterion.

ACCT 2051 (070) Midterm Exam #1

Which of the following is included within current assets on a balance sheet?

查看解析

登录即可查看完整答案

类似问题

Referring to the Balance Sheet printed in Step 22 of the Practical Exam, what is the amount shown for Total current assets?

Calculate the current assets. Cash 789 Property, plant & equipment 128,859 Bank loan, 5 years 13,482 Inventory 440 Notes payable, 10 years 10,052 Accounts receivable 1,143 Accounts payable 5,766 Unearned revenue 1,929 Prepaid insurance 8,197 Salary payable 1,110 Patents 141,164

Cash itself or items that could be quickly turned into cash or will be used within 1 year are called ________.

Calculate current assets. Cash 932 Property, plant & equipment 133,221 Bank loan, 5 years 16,821 Inventory 635 Notes payable, 10 years 11,405 Accounts receivable 1,767 Accounts payable 5,016 Unearned revenue 1,548 Prepaid insurance 6,341 Salary payable 1,618 Patents 188,385

Which of the following are current assets? (Check all that apply.)

Accounts Receivable is classified on the Blank ______.

What are current assets? BlackTom题目解析

更多留学生实用工具

考试浏览器助手

风格化写作助手

论文查重助手

文献引用助手

课堂转译助手

课堂笔记助手

Quiz搜索助手

学校历年真题

智能刷题助手

智能匹配练习

希望你的学习变得更简单