Current and long-term assets and liabilities – 5 important differences

Question#1 (one page)Describe the difference between current and long-term assets and liabilities.

Why do you think it is important for assets and liabilities to be distinguished in terms of current and long-term?

Question#2 (one page)Each financial transaction in a business has what is called a “dual effect” on the accounting equation.

Explain this term and give an example of a financial transaction and how it affects each account.