The Primary Basis for the Classification of Assets and Liabilities

question 33

Multiple Choice

The primary basis for the classification of assets and liabilities in the balance sheet is:

• A) profitability.
• B) liquidity.
• C) age.
• D) value.

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Definitions:

Innate Human Characteristic

Traits or abilities that are present in humans from birth, not acquired or learned through experience.

Universal

Pertaining to or applicable to all members of a class, group, or category.

Species-specific Trait

A characteristic or behavior that is unique to a particular species, distinguishing it from other species.

Steven Pinker

A cognitive psychologist and linguist known for his work in language and human nature, advocating for the importance of science and reason.