Which one of the following accounts is generally the most liquid?
A)Inventory.
B)Building.
C)Accounts receivable.
D)Equipment.
E)Patent.

Question

Quizplus · Accepted Answer

Accounts receivable is generally considered the most liquid account because it represents money owed to the company that is expected to be collected within a short timeframe, usually within a few weeks to a few months. This makes it more easily convertible to cash than other accounts such as inventory, which may take longer to sell or convert to cash, or patents, which may have limited demand or be difficult to sell.

Which One of the Following Accounts Is Generally the Most