Which of the following is TRUE of current assets?
A)The time of conversion of current assets to more liquid form is relatively unpredictable.
B)They are used to fund long-term operations and pay long-term expenses.
C)They are more profitable because they add more value to the product than that provided by fixed assets.
D)They are sources of short-term financing for a firm.

Question

Quizplus · Accepted Answer

Current assets are expected to be converted into cash or used up within a year, making their conversion time relatively predictable.

Which of the Following Is TRUE of Current Assets