Question

Which of the following are current assets of a business?
(i) Income received in advance
(ii) Stock
(iii) Debtors
(iv) Pre-paid expenses
(v) Accrued income
Select the correct answer from the options given below -

• A. Both (i) and (iv) of the above
• B. Both (ii) and (iii) of the above
• C. (i), (ii) and (iii) of the above
• D. (ii), (iii), (iv) and (v) of the above

Answer 1

The correct option is D (ii), (iii), (iv) and (v) of the above

Income received in advance- Its a current liability.

Stock, Debtors, Prepaid Expenses and Accrued Income are part of current assets.