If an Asset Can Be Obtained or Disposed of Without

question 479

Multiple Choice

If an asset can be obtained or disposed of without much risk of losing its nominal value, it is said to be

• A)fiduciary.
• B)liquid.
• C)wealth.
• D)valuable.

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Definitions:

Negotiable Instrument

A voucher guaranteeing that a specified sum of money will be paid, either when demanded or at a certain time, with the payer’s identity specified on the voucher.

Substitute

In a legal or contractual context, to replace one obligation, duty, or individual with another.

Cash

represents money in the physical form of currency, such as coins and banknotes, used to purchase goods, services, or settle debts.

Certify

To officially recognize, verify, or declare something as true, accurate, or in compliance with certain standards.