Identify the asset from the following A. Cash and cash equivalent B. Creditors C. Notes payable D. Bank loan

Cash and cash equivalent
Creditors
Notes payable
Bank loan

The correct answer is A. Cash and cash equivalents.

Cash and cash equivalents are assets that are readily available to a company for use in its operations. They include cash on hand, money in checking and savings accounts, and short-term investments that can be easily converted into cash.

Creditors are entities that have a claim against a company’s assets. This includes both short-term and long-term debt, as well as accounts payable.

Notes payable are a type of debt that a company owes to another party. They are typically issued for a specific period of time and have a fixed interest rate.

Bank loans are a type of debt that a company borrows from a bank. They are typically used to finance large purchases or to cover short-term cash flow needs.

In conclusion, cash and cash equivalents are the only assets listed that are readily available for use in a company’s operations. The other options are all liabilities, which are obligations that a company owes to another party.

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