Which of the Following Assets Held by a Manufacturing Business

question 19

Multiple Choice

Which of the following assets held by a manufacturing business is a § 1231 asset?

• A)Inventory.
• B)Office furniture used in the business and held less than one year.
• C)A factory building used in the business and held more than one year.
• D)Accounts receivable.
• E)All of these.

---

Definitions:

Caldera

A caldera is a large depression formed when a volcano erupts and collapses, following the emptying of the magma chamber below the volcano.

Weathered

The breakdown of rocks, soils, and minerals through contact with the Earth's atmosphere, water, and biological organisms.

Diamonds

Diamonds are a form of carbon arranged in a crystal structure, known to be the hardest natural material, widely used in jewelry and industrial applications.

Pegmatite Crystals

Exceptionally large crystals that form within pegmatite rock, a very coarse-grained igneous rock, often found in cavities that allow for their unobstructed development.