Asked by
Nelson Ayonab
on Nov 14, 2024Verified
Which statement about long-term investments is not true?
A) They will be held for more than one year.
B) They are not currently used in the operation of the business.
C) They include investments in stock of other companies and land held for future use.
D) They can never include cash accounts.
Long-term Investments
Investments made to be held for more than a single fiscal year, which might include bonds, stocks, or real estate.
Stock of Other Companies
Securities representing partial ownership in other companies that can be held as investments by individuals or entities.
Cash Accounts
Cash accounts are financial accounts that keep track of cash transactions within an organization, including receipts, disbursements, and balances.
- Understand the characteristics and categorization of long-term investments.
Verified Answer
YF
Learning Objectives
- Understand the characteristics and categorization of long-term investments.