On the Statement of Financial Position,how Are Assets and Liabilities

question 109

Multiple Choice

On the statement of financial position,how are assets and liabilities normally presented?

• A)Assets are presented in their order of permanence;liabilities are presented in the order in which they become due.
• B)Assets are presented in the order in which they become due;liabilities are presented in their order of permanence.
• C)Assets are presented in order of profitability;liabilities are presented in order of liquidity.
• D)Assets are presented in order of liquidity;liabilities are presented in order of profitability.

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Definitions:

Acetabulum

The cup-shaped cavity at the base of the hip bone into which the ball-shaped head of the femur fits to form the hip joint.

Inferior Pubic Ramus

The lower branch of the pubic bone, which together with the superior ramus, forms a part of the pelvis.

Scapula

A flat, triangular bone located in the upper back, part of the shoulder girdle that provides attachment for several muscles.