A company holds a portfolio of securities, some classified as trading and others as available for sale. How does this classification impact the balance sheet presentation?

Both trading and available for sale securities are always classified as current assets on the balance sheet.

Both trading and available for sale securities are always classified as long-term assets on the balance sheet.

Trading securities are classified as current assets, while available for sale can be current or long-term.

Trading securities are classified as long-term assets, while available for sale securities are always current.