Which one of the following asset accounts is not a part of a firm's working capital?
A) cash and marketable securities
B) accounts receivable
C) inventories
D) fixed assets

Question

Quizplus · Accepted Answer

Fixed assets, such as property, plant, and equipment, are not considered a part of a firm's working capital as they are intended for long-term use and not easily converted into cash. Working capital typically includes the more liquid assets that a company uses on a day-to-day basis, such as cash, marketable securities, accounts receivable, and inventories.

Which One of the Following Asset Accounts Is Not a Part