Long-Term Investments

question 21

Multiple Choice

Long-term investments:

• A) Are current assets.
• B) Include funds earmarked for a special purpose such as bond sinking funds.
• C) Must be readily convertible to cash.
• D) Are expected to be converted into cash within one year.
• E) Include only equity securities.

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Definitions:

Strict Liability

A legal doctrine holding an individual or entity responsible for damages or harm caused by their actions or products, regardless of fault or intent.

Defenses Available

A rewording of legal strategies or claims that can be used by a defendant to reduce liability or dismiss a lawsuit.

Strict Liability

Refers to legal responsibility for damages or injury, even if the person found strictly liable was not at fault or negligent.

Building Construction

The process involving materials, design, and planning to create a structure for a specific use or purpose.