Question

Question 2

Carter Appliances is preparing its annual report for the current fiscal year. The company's controller has asked for your help in determining how best to disclose information about the following item:

 1. A subsequent event. 

Required: Indicate whether the above item should be disclosed (a) in the summary of significant accounting policies note, (b) in a separate disclosure note, or (c) on the face of the balance sheet 

on the face of the balance sheet. 

in a separate disclosure note 

in the summary of significant policies note. 

Question 3 

The following partial balance sheet (S in thousands) for Paisano Seafood Inc. is shown below.

The acid-test ratio is (Round your answer to two decimal places.): 

1.17 

0.25 

1.58. 

0.88 

Answer 1