Stocks are not classified as liquid assets

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Reference no: EM132072970

Identify the False Statements

Stocks are not classified as liquid assets because their value can fluctuate daily.

Debt payments over the next year are classified as current liabilities on the personal balance sheet.

Increases in net worth occur primarily as a result of net positive cash flows.

A positive budgeting forecasting error occurs when budgeted income is overstated and budgeted expenses are understated.

The envelope budgeting method relies on transferring money from your bank account before you have an opportunity to spend it.

The cut-off between current and long-term liabilities is one year.

Reference no: EM132072970

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