There are 2 types of investments of ₹90000 each, one is for 11 months and the other one is for 26 months. Where will these investments be shown in the financial statements of the company?
Answer & explanation
Correct answer: option 4
The correct answer is option 4- Both in the balance sheet.
Investments are also classified into current and non-current categories. Investments expected to realize within twelve months are considered as current investments under current assets. Others are classified as non-current investments under non-current assets. Both are however shown on the face of the balance sheet.