Which type of assets are expected to be used in business operations for more than one year?

Long-term assets are those that a company expects to use in its business operations for more than one year. These assets typically include property, plant, equipment, and intangible assets such as patents or trademarks. Their long-term nature reflects their role in supporting the ongoing operations of the business, as they are not intended for immediate sale or conversion into cash.

Current assets, on the other hand, are expected to be converted into cash or used up within a year, typically including items like cash, inventory, and accounts receivable. Short-term assets have a similar timeframe, focusing specifically on assets that are highly liquid and typically held for less than a year. Liquid assets refer more to the ability of an asset to be quickly converted into cash, without necessarily designating the time frame of use.

Thus, long-term assets are accurately identified as being utilized in business operations for a duration exceeding one year, aligning with their essential role in the infrastructure and operational capability of a company.