Subscription in advance is treated in the balance sheet as a
FINANCIAL
JAMB 2017
Subscription in advance is treated in the balance sheet as a
- A. current asset
- B. current liability
- C. fixed asset
- D. long term liability
Correct Answer: B. current liability
Explanation
current assets are assets of the company that can be easily converted to cash when needed
current liability: this is the liability owned to outsiders but still enjoying its benefit within a year e.g creditors, wages in arrears
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