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A Company That Produces Drugs Is Preparing a Balance Sheet

Question 2

Multiple Choice

A company that produces drugs is preparing a balance sheet. Which of the following would be most likely to be considered a long-term asset on this balance sheet?


A) the inventory of chemicals used to produce the drugs made by the company
B) a patent for a drug held by the company
C) the cash reserves of the company
D) commercial paper held by the company

Correct Answer:

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