Kim's Copy Shop is in the process of organizing its assets in the appropriate order. The manager asks you for help in arranging the following assets: equipment, accounts receivable, cash, merchandise inventory, and notes receivable. You list ____ first and ____ last.
A) merchandise inventory; notes receivable
B) accounts receivable; equipment
C) notes receivable; accounts receivable
D) equipment; accounts receivable
E) cash; equipment

Question

Quizplus · Accepted Answer

Cash is listed first because it is the most liquid asset, and equipment is listed last because it is the least liquid among the options provided.

Kim's Copy Shop Is in the Process of Organizing Its