Assets are listed on the balance sheet in order of liquidity.Which of the following items reflects the normal order of liquidity?
A)Cash,Accounts receivable,Inventory,Bills receivable
B)Non-current assets,Inventory,Bills receivable,Cash
C)Cash,Inventory,Bills receivable,Accounts receivable
D)Bills Receivable,Inventory,Accounts receivable,Cash

Question

Quizplus · Accepted Answer

Assets are listed on the balance sheet in order of liquidity, which means how quickly they can be converted into cash. The correct order is: Cash, Accounts Receivable, Inventory, Bills Receivable.

Assets Are Listed on the Balance Sheet in Order of Liquidity.Which