Which statement is true concerning operating assets?
A)Operating assets have no physical properties.
B)A company's operating assets are important to its short-term liquidity.
C)Operating assets are used over two or more periods to generate revenues.
D)All operating assets are reported on the income statement

Question

Quizplus · Accepted Answer

Operating assets are utilized over multiple periods to generate revenue, distinguishing them from current assets, which are more closely tied to short-term liquidity. Operating assets can have physical properties (like buildings and machinery) and include both tangible and intangible assets used in the operations of a business to generate income. They are reported on the balance sheet, not the income statement.

Which Statement Is True Concerning Operating Assets