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"Permanent current assets are not similar to fixed assets because they are fully liquidated within the year.

A True
B False"

User Rifky
by
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1 Answer

5 votes

Final answer:

Permanent current assets are not similar to fixed assets because they have different characteristics and purposes.

Step-by-step explanation:

No, permanent current assets and fixed assets are not the same. Permanent current assets are assets that are expected to be held for a long-term period, but they do not have a fixed lifespan and are not fully liquidated within a year. Examples of permanent current assets include cash, accounts receivable, and inventory. On the other hand, fixed assets are long-term assets that are used in the production of goods or services and have a fixed lifespan. Examples of fixed assets include buildings, machinery, and equipment.

User Arjan Blokzijl
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8.8k points
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