Assets are listed on the Statement of Financial Position in order of:
A) decreasing liquidity.
B) increasing liquidity.
C) increasing size.
D) relative life.

Question

Quizplus · Accepted Answer

Assets on the Statement of Financial Position (Balance Sheet) are listed in order of decreasing liquidity, meaning the most liquid assets (e.g., cash) are listed first, and less liquid assets (e.g., property, plant, and equipment) are listed later.

Assets Are Listed on the Statement of Financial Position in Order