Which of the Following Is Not a Type of Operating

question 17

Multiple Choice

Which of the following is not a type of operating asset?

• A) inventory
• B) cash
• C) land
• D) Long-term investments
• E) equipment

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Definitions:

Trial Balance

An accounting report that lists the balances of all accounts in the general ledger at a particular point in time to check for errors.

Cash

Liquid assets held by a company, used to settle debts, purchase goods and services, or meet immediate needs; a fundamental indicator of financial health.

Debt Ratio

A financial ratio that measures the proportion of a company's total debt to its total assets, indicating the company's leverage.

Liabilities

Financial obligations or debts owed by a business to external parties or individuals, which must be settled over time through the transfer of economic benefits.