Which of the Following Presents the Proper Ordering of Assets,liabilties

question 35

Multiple Choice

Which of the following presents the proper ordering of assets,liabilties and equities on the statement of financial position used by some countries that is different from the U.S.?

• A)current assets,long-term assets,current liabilities
• B)inventories,trade-receivables,cash
• C)assets,liabilities,equities
• D)current liabilities,long-term liabilities,equities

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Definitions:

Net Income

The total profit of a company after all expenses and taxes have been subtracted from revenue.

Tax Account

An account designated for the accumulation and payment of taxes owed by an individual or organization.

Net Working Capital

The gap between a firm's present assets and liabilities, showcasing its immediate fiscal stability and the effectiveness of its operations.