use the following information relating to Bala enterprises to anwser the question
N
premises
32,000
motor vehicle
15,000
debtors
15,000
stock
20,000
creditors
10,000
the value of fixed assets
A. N72,000 B. N47,000 C. N35,000 D. N25,000
Correct Answer: B
Explanation
A fixed asset is a long-term tangible piece of property that a firm owns and uses in its operations to generate income. In accounting, fixed does not necessarily mean immovable; any asset expected to last, or be in use for, more than one year is considered a fixed asset. fixed assets = 32,000 + 15,000 = 47,000
