Which of the following terms is used to describe assets that can be easily converted to cash?

Question

Quizplus · Accepted Answer

Current assets are assets that can be easily converted to cash within the current operating cycle of a business, typically within one year. Examples of current assets include cash, accounts receivable, and inventory. Fixed liabilities refer to long-term debts and obligations, while fixed assets refer to long-term tangible assets such as property, plant, and equipment. Current profits are not a term commonly used in accounting or finance.

Which of the Following Terms Is Used to Describe Assets