The assets section of a classified balance sheet usually includes the subgroups:
A) Current assets, long-term investments, plant assets, and intangible assets.
B) Current assets, long-term investments, plant assets, and equity.
C) Current liabilities, long-term investments, plant assets, and intangible assets.
D) Current assets, long-term assets, revenues, and intangible assets.
E) Current assets, liabilities, plant assets, and intangible assets.

Question

Quizplus · Accepted Answer

The assets section of a classified balance sheet typically includes four subgroups: current assets, long-term investments, plant assets, and intangible assets. This is the grouping presented in option A. Option B is incorrect because equity is not an asset, it is a component of the liabilities and equity section. Option C is incorrect because current liabilities should not be included in the assets section. Option D is incorrect because revenues are not assets and should be presented in the income statement instead. Option E is incorrect because liabilities should not be included in the assets section.

The Assets Section of a Classified Balance Sheet Usually Includes