218. Which of the following is TRUE about the treatment of insurance premium paid in advance

Current asset
Current liability
Short term liability
Fixed asset
✅ The correct answer is A.
Current asset is TRUE about the treatment of insurance premium paid in advance. Current assets represent all the assets of a company that are expected to be conveniently sold, consumed, utilized or exhausted through the standard business operations, which can lead to their conversion to a cash value over the next one year period.

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