The Basis for Classifying Assets as Current or Noncurrent Is

Multiple Choice

The basis for classifying assets as current or noncurrent is the period of time normally required by the accounting entity to convert cash invested in

A) inventory back into cash, or 12 months, whichever is shorter.
B) receivables back into cash, or 12 months, whichever is longer.
C) tangible fixed assets back into cash, or 12 months, whichever is longer.
D) inventory back into cash, or 12 months, whichever is longer.