Current assets are usually listed in the order of their:
A) Size: smallest to largest
B) Liquidity: most liquid to least liquid
C) Size: largest to smallest
D) Lack of liquidity: least liquid to most liquid
E) None of the above

Question

Quizplus · Accepted Answer

Current assets are typically listed on the balance sheet in order of liquidity, meaning the ease with which they can be converted into cash. The most liquid assets, such as cash and cash equivalents, are listed first, followed by other assets in decreasing order of liquidity.

Current Assets Are Usually Listed in the Order of Their