One significant difference between a classified and a non-classified balance sheet is the distinction between which of the following items?
A) Assets and liabilities
B) Current and noncurrent items
C) Liabilities and owners' equity
D) Resources invested by the owners and amounts borrowed from creditors

Question

Quizplus · Accepted Answer

A classified balance sheet distinguishes between current and noncurrent items, while a non-classified balance sheet does not make this distinction. Both types of balance sheets still separate assets and liabilities, liabilities and owners' equity, as well as resources invested by the owners and amounts borrowed from creditors.

One Significant Difference Between a Classified and a Non-Classified Balance