Select the statement that is not true regarding Assets.
A)Asset accounts include but are not limited to: cash,accounts receivable,inventory,and fixed assets.
B)Assets provide a future benefit to the company.
C)Assets are amounts a company owes to others.
D)Assets are resources a company owns.

Question

Quizplus · Accepted Answer

Assets are resources that a company owns and can include cash, accounts receivable, inventory, and fixed assets. They provide a future benefit to the company, such as revenue generation or cost savings. Therefore, statement C, which states that assets are amounts a company owes to others, is not true. This definition is actually more aligned with liabilities, which are amounts that a company owes to others.

Select the Statement That Is Not True Regarding Assets