The correct answer is: C. Inventories
Quick assets are assets that can be converted into cash quickly and easily. They are typically defined as cash, cash equivalents, and short-term receivables. Inventories are not included in quick assets because they are not as liquid as other assets. Inventories are goods that a company has on hand for sale or that are in the process of being manufactured. They are not readily convertible into cash because they must first be sold.
Cash is the most liquid asset because it can be used to purchase goods and services immediately. Cash equivalents are short-term investments that are highly liquid and can be converted into cash easily. Short-term receivables are amounts that customers owe to a company for goods or services that have been sold. They are also considered to be quick assets because they can be collected relatively quickly.
Inventories are not as liquid as other assets because they must first be sold before they can be converted into cash. This can take time, especially if the market for the goods is not strong. Additionally, inventories can lose value over time due to obsolescence or damage. This makes them a less attractive investment than other types of assets.
In conclusion, the correct answer to the question “What is not included in quick assets?” is C. Inventories. Inventories are not as liquid as other assets and therefore are not included in quick assets.