Arrange the following items in current assets according to its liquidity: A . Cash, Inventories, Marketable Securities, Account Receivable. B. Cash, Account Receivable, Inventories, Marketable Securities. C. Cash, Marketable Securities, Account Receivable, Inventories. D. Cash, Account Receivable, Marketable Securities, Inventories.

Arrange the following items in current assets according to its liquidity: A . Cash, Inventories, Marketable Securities, Account Receivable. B. Cash, Account Receivable, Inventories, Marketable Securities. C. Cash, Marketable Securities, Account Receivable, Inventories. D. Cash, Account Receivable, Marketable Securities, Inventories.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter8: Current And Contingent Liabilities

Section: Chapter Questions

Problem 17MCQ

See similar textbooks

Similar questions

Describe the relationship between changes in cash and changes in noncash assets, liabilities, and stockholders equity.
Current assets in order of liquidity are cash, marketable securities, inventory, and accounts receivable. A) True B) False k
Accounts Receivable will appear on which of the following financial statements?a. Income statementb. Statement of retained earningsc. Balance sheetd. Statement of cash flows
What does each of the following definitions refer to: All aspects of the administration of cash, accounts receivables, inventory, accounts payable, short term debt, accrued expenses, etc.
Exercise 1-2 The following items are included in the Cash general ledger account of SANTAN COMPANY as of Dec. 31, 2019: 1. Current account with MBTC 2. Current account with MBTC (overdraft) 3. Petty cash fund (with P350 unreplenished vouchers) 4. Change fund (originally set up by retaining P250 in each of the five cash registers) 5. Cash in bank established as sinking fund 6. Undeposited cash collections (including one check for P400 dated Jan. 2, 2020) 7. Cash deposited with a government agency as bidder's bonds 8. Cash advances for travelling salesmen 9. Cash in bank (under receivership) 10. Cash for meter deposit with a public utility (Meralco) Exercise 1-3 P100,000 20,000 1,000 1,230 40,000 REQUIRED: 1. At what amount should cash as a current asset appear in the balance sheet? 2. How will the other accounts be reported? accounts 5. Change fund 6. Promissory note from cashier with no due date 12,400 7. Currency and coins per count 8. Cash in bank (outstanding checks amounting to…
Which of the following assets—inventory, building, accounts receivable, or cash—is most liquid? Which is least liquid?
Arrange the following current assets according to their liquidity, starting from the most liquid one: cash, bank, inventory, accounts receivable accounts receivable, inventory, bank, cash bank, cash, accounts receivable, inventory cash, bank, accounts receivable, inventory
Identify the asset from the following? A. Cash and Cash equivalents B. Creditors
what accounts are included in the statement of cashflow?
What is meant by liquidity? Rank the following assetsfrom one to five in order of liquidity.(a) Goodwill. (d) Short-term investments.(b) Inventory. (e) Accounts receivable.(c) Buildings.
Assets and liablities are classified on the balance sheet into correct and long-term categories in order to a. determine the value of the businessb. determine the cash flows of the businessc. yield information about liquidityd. distinguish them from extraordinary items