Which of the Following Are Current Assets

question 6

Multiple Choice

Which of the following are current assets?
I.patent
II.inventory
III.accounts payable
IV.cash

• A)I and III only
• B)II and IV only
• C)I, II, and IV only
• D)I, II and IV only
• E)II, III, and IV only

---

Definitions:

Equipment

Refers to tangible assets used in the operation or production process of a business, such as machinery, tools, and vehicles.

Double-Declining-Balance

An accelerated method of depreciation where the asset's book value is decreased at double the rate of traditional straight-line depreciation.

Scrap Value

The expected financial return on an asset when it is sold after its useful life has ended.

Equipment

Tools or machines required for a specific task or operation, typically in industry, business, or sports.