Which type of investment in securities must always be classified as a current asset?

Question

Quizplus · Accepted Answer

Trading securities must always be classified as a current asset as they are held for the purpose of buying and selling in the near term and therefore are expected to be liquidated within the next year. Held-to-maturity debt securities and available-for-sale securities, on the other hand, may be classified as current or long-term assets depending on their maturity and the entity's intentions for holding them.

Which Type of Investment in Securities Must Always Be Classified