Treasury stock should not be classified as a current asset.

Name: Treasury stock should not be classified as a current asset.
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Question

Quizplus · Accepted Answer

Treasury stock is not a current asset as it represents shares of a company that have been bought back by the company and are therefore not available for sale or use. They do not meet the definition of a current asset which is an asset that will be converted to cash or used up within one year.

Treasury Stock Should Not Be Classified as a Current Asset