A balance sheet lists assets in order of their _______.
A)income generating ability
B)dollar value,from smallest to largest
C)date of acquisition,with the most recently acquired assets listed first
D)liquidity,with the most liquid assets listed first

Question

Quizplus · Accepted Answer

The purpose of a balance sheet is to show the financial position of a company at a specific point in time. One aspect of financial position is liquidity, or the ability to meet short-term obligations. Therefore, assets are typically listed in order of their liquidity, with the most liquid assets (such as cash and short-term investments) listed first.

A Balance Sheet Lists Assets in Order of Their _______