Question

Liquid assets include:

• A. Bills Receivable
• B. Debtor
• C. Cash
• D. All of these

Hint:

Liquid assets = Current assets – (Inventory + Prepaid Expenses).

Answer 1

The Correct Option is D

Step 1: Meaning of liquid assets.
Liquid assets are those current assets which can be easily converted into cash without significant loss of value.
Step 2: Examples.
- Bills Receivable = short-term promise to pay, easily realisable.
- Debtors = amounts receivable from customers, part of liquid assets.
- Cash = already liquid.
Step 3: Conclude.
Thus, all the given items (BR, Debtors, Cash) are liquid assets.
Final Answer: \[ \boxed{\text{All of these}} \]