Question

"When Erica calculates the current assets for her picture framing business, she should not include which of the following? Group of answer choices Her accounts payable Her accounts receivable" The store's inventory of matting Office supplies The money in her cash register

Answer 1

Answer:

Accounts payable

Explanation:

Accounts payable is the amount that the firms owes to its suppliers. It is a current liability as it should be paid back within a year. Current assets represent current economic benefits of the firm that is utilized within the operating cycle of the firm. which is generally a year. Examples of current assets are inventory, accounts receivables (amount owed to the firm by customers) and cash in hand.

As such, other options except accounts payable are included in Erica's business as current assets.