Fundamental Payroll Certification (FPC) 2025 – 400 Free Practice Questions to Pass the Exam

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Question: 1 / 400

Which asset category does furniture fall under?

Current Assets

Intangible Assets

Tangible Assets

Furniture is classified under tangible assets because it is a physical item that has a measurable value and can be touched and seen. Tangible assets include items that a company owns and uses in its operations, such as machinery, buildings, and inventory, as well as furniture. These assets are typically used over a period longer than one year and are important for the day-to-day functioning of a business.

In contrast, current assets refer to assets that are expected to be converted into cash or used within one year, such as cash, accounts receivable, and inventory. Intangible assets, on the other hand, are non-physical assets that provide value, such as patents and trademarks. The phrase "Fixed Malicious Assets" is not a recognized term in accounting, which further clarifies that furniture does not belong in this category. Tangible assets, therefore, is the appropriate classification for furniture.

Fundamental Payroll Certification (FPC) 2025 – 400 Free Practice Questions to Pass the Exam

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