Questions: The current and noncurrent assets and liabilities are useful in evaluating . 1)operating results 2)financing activities 3)liquidity 4)financial conditions

The answer is 3) liquidity.

Explanation for each option:

1. Operating results: This refers to the outcomes of a company's core business activities, typically measured by metrics like net income or operating income. While current and noncurrent assets and liabilities can indirectly affect operating results, they are not the primary focus for evaluating these results.

2. Financing activities: These involve transactions related to raising capital and repaying investors, such as issuing stocks or bonds and paying dividends. While liabilities can be part of financing activities, the evaluation of financing activities is more directly related to cash flow statements rather than the balance of current and noncurrent assets and liabilities.

3. Liquidity: This is the ability of a company to meet its short-term obligations using its current assets. Current assets and liabilities are directly used to assess liquidity, as they indicate how easily a company can convert assets to cash to pay off its short-term debts.

4. Financial conditions: This is a broader term that encompasses the overall financial health of a company, including its liquidity, solvency, and profitability. While current and noncurrent assets and liabilities contribute to understanding financial conditions, they are specifically crucial for assessing liquidity.