Current Assets Are Assets That

question 14

Multiple Choice

Current assets are assets that:

• A) will be converted to cash within a year.
• B) must be paid within a year.
• C) will be converted to equity within a year.
• D) must be depreciated.

---

Definitions:

Annuals

Plants that complete their life cycle, from germination to the production of seeds, within one year, and then die.

Garden Stores

Retail outlets specializing in the sale of plants, gardening tools, outdoor furniture, and other gardening and landscaping supplies.

Hybrid Company

A business entity that combines elements of different organizational structures, such as a mix of a corporation's limited liability features with a partnership's tax efficiencies.

Unforeseen Tornado

An unexpected and severe weather event characterized by a violently rotating column of air touching the ground.