Long-term investments include which of the following?
A) represent accounts receivable and notes receivable on the balance sheet
B) shares and bonds that the investor expects to hold for longer than one year
C) shares and bonds that the investor expects to convert to cash within one year
D) marketable securities

Question

Quizplus · Accepted Answer

Long-term investments are those that are expected to be held for longer than one year. These typically include shares and bonds that are not intended to be converted to cash within a year. Choice A represents current assets, not long-term investments. Choice C represents short-term investments. Choice D represents marketable securities, which may or may not be considered long-term investments depending on the investor's intentions for holding them.

Long-Term Investments Include Which of the Following