| N | |
| premises | 32,000 |
| motor vehicle | 15,000 |
| debtors | 15,000 |
| stock | 20,000 |
| creditors | 10,000 |
The value of current assets is?
-
N35,000
- N32,000
- N25,000
- N10,000
The correct answer is: A
Explanation
Current assets are balance sheet assets that can be converted to cash within one year or less. Accounts that are considered current assets include cash and cash equivalents, marketable securities, accounts receivable, inventory, prepaid expenses, and other liquid assets.
current assets = debtors + stock
15,000 + 20,000 = 35,000