1. Equipment is an example of a: A.current liability. B.longminus−term liability. C.current asset. D.longminus−term asset. 2....
1. Equipment is an example of a:
A.current liability.
B.longminus−term
liability.
C.current asset.
D.longminus−term
asset.
2. What is liquidity?
A.Liquidity is a measure of the fragility of certain types of inventory.
B.Liquidity is gross profit minus operating expenses.
C.Liquidity is the ability to convert an asset to cash quickly.
D.Liquidity is a shipping term that applies to freight sent by boat.
3. Under the periodic inventory system, the amount of inventory is:
A.constantly updated.
B.only known when a physical count is taken.
C.adjusted after each purchase.
D.adjusted after each sale.
Homework Answers
1. Equipment is an example of : "D" : Longminus-term asset
Reason : Equipment is an investment which will benefit the company or in other words, will provide future economic benefits to the company for more than just 1 year and hence it is classified as a long-term asset.
2. Liquidity is : "C" : ability to convert asset into cash quickly.
Reason : Liquidity is defined as how fast the company can convert its assets into cash so that it can meet its current obligations. A highly liquid company has low risk of not meeting its debt obligations.
3. Answer : "B" :Only known when a physical count is taken
Reason : Under a periodic inventory system, the inventory accounts are updated at periodic intervals, usually at the year end when the physical count is done. The transactions in between physical counts are recorded in purchases a/c which are moved to Inventory when the physical count is done.
Add Answer to:
1. Equipment is an example of a:
A.current liability.
B.longminus−term
liability.
C.current asset.
D.longminus−term
asset.
2....
Equipment is an example of a: A.current liability. B.longminus−term liability. C.current asset. D.longminus−term asset. What is...
Equipment is an example of a: A.current liability. B.longminus−term liability. C.current asset. D.longminus−term asset. What is liquidity? A.Liquidity is a measure of the fragility of certain types of inventory. B.Liquidity is gross profit minus operating expenses. Under the periodic inventory system, the amount of inventory is: A.constantly updated. B.only known when a physical count is taken. C.adjusted after each purchase. D.adjusted after each sale C.Liquidity is the ability to convert an asset to cash quickly. D.Liquidity is a shipping term...
a . 43% Aa -» QD Instructions Match each term with the best description below. Each...
a . 43% Aa -» QD Instructions Match each term with the best description below. Each term may be used more than once, or may not be used at all. An expense account that shows the cost of merchandise sold A group of accounts that share a common characteristic, such as all inventory accounts _An account, such as Sales Discounts, that is deducted from a revenue account on the income statement d. The return of unsatisfactory purchased merchandise Freight terms...
B * 67%C4) Mon 1:00 PM a ⓇO E5.2 (LO 1, 2, 3, 4, 5, 6) K The following are some of the terms discussed in the chap...
B * 67%C4) Mon 1:00 PM a ⓇO E5.2 (LO 1, 2, 3, 4, 5, 6) K The following are some of the terms discussed in the chapter: Match concepts with descriptions. 1. Gross profit 2. Perpetual inventory system 3. Cost of goods sold 4. Purchase returns 5. Freight out 6. FOB shipping point 7. Periodic inventory system 8. Subsidiary ledger 9. Sales discounts 10. FOB destination 11. Sales allowance 12. Non-operating activities 13. Profit margin 14. Contra revenue account...
10. Match the following definitions: (1) The ability to convert an asset into cash (2p each,...
10. Match the following definitions: (1) The ability to convert an asset into cash (2p each, total 20p) e ability to convert an asset into cash quickly without a significant loss of its value O Raw materials, work in progress and finished goods held by the form for eventue V Expenses that have been incurred but neither the related invoice received not be A noncash expense to allocate the cost of depreciable assets, such as plant and equipment, over the...
ng are some of the terms discussed in the chapter Match concepts with descriptions 1. Gross...
ng are some of the terms discussed in the chapter Match concepts with descriptions 1. Gross profit 2. Perpetual inventory system 3. Cost of goods sold 4. Purchase returns 5. Freight out 6. FOB shipping point 7. Periodic inventory system 8. Subsidiary ledger 9. Sales discounts 10. FOB destination 11. Sales allowance 12. Non-operating activities 13. Profit margin 14. Contra revenue account 15. Merchandise inventory 16. Purchase discounts Instructions Match each term with the best description below. Beah tomm ma....
Question 2 (30%) Matching the following statement with the BEST accounting term: Description (1) A detailed...
Question 2 (30%) Matching the following statement with the BEST accounting term: Description (1) A detailed inventory record is maintained, recording each purchase and sale during the accounting period. (2) Systematic allocation of the cost of an asset to expense during the period of its useful life. (3) An increase in equity resulting from profitable operation. 4) A liability account used to record the obligation to provide future services when cash has been received before revenues have been earned. Term...
Which of the following is considered part of the asset classification Long-Term Investments? A. B. C....
Which of the following is considered part of the asset classification Long-Term Investments? A. B. C. D. A building housing a company's administrative activities. Cash equivalents. A sinking fund established to retire bonds payable maturing in 20 years. Securities classified as held-to-maturity that mature within the next 12 months. Which of the following events related to accounts receivable causes a decrease to total assets? B. C. D. A write-off of an account receivable. A collection of an account receivable. A...
10. Match the following definitions: (2p each, total 20p) The ability to convert an asset into...
10. Match the following definitions: (2p each, total 20p) The ability to convert an asset into cash quickly without a significant loss of its value. Raw materials, work in progress, and finished goods held by the firm for eventual sale. ( ) Expenses that have been incurred but neither the related invoice received nor paid. ( ) A noncash expense to allocate the cost of depreciable assets, such as plant and equipment, over the life of the asset. (Money owed...
TRUE/FALSE 1) The return on total assets ratio is not a profitability measure. 1) 2) The...
TRUE/FALSE 1) The return on total assets ratio is not a profitability measure. 1) 2) The return on total assets can be calculated as profit margin divided by total asset turnover. 2) 3) A company that has days' sales uncollected of 30 days and days' sales in inventory of 18 days implies that inventory will be converted to cash in about 12 days. 3) 4) The higher the accounts receivable turnover, the less quickly accounts receivable are collečted.4) 5) Efficiency...
Answer T or F 1. Transportation-in is considered a cost of purchasing inventory 2. In many...
Answer T or F 1. Transportation-in is considered a cost of purchasing inventory 2. In many retail businesses, inventory is the largest current asset. 3. As inventory is sold in many retail businesses, the largest expense is created. 4. The cost of merchandise is inventory is limited to the purchase price less any purchase discounts. 5. A business using the perpetual inventory system, with its detailed subsidiary records, does not need to take a physical inventory. 6. One of the...
a . 43% Aa -» QD Instructions Match each term with the best description below. Each term may be used more than once, or may not be used at all. An expense account that shows the cost of merchandise sold A group of accounts that share a common characteristic, such as all inventory accounts _An account, such as Sales Discounts, that is deducted from a revenue account on the income statement d. The return of unsatisfactory purchased merchandise Freight terms...
B * 67%C4) Mon 1:00 PM a ⓇO E5.2 (LO 1, 2, 3, 4, 5, 6) K The following are some of the terms discussed in the chapter: Match concepts with descriptions. 1. Gross profit 2. Perpetual inventory system 3. Cost of goods sold 4. Purchase returns 5. Freight out 6. FOB shipping point 7. Periodic inventory system 8. Subsidiary ledger 9. Sales discounts 10. FOB destination 11. Sales allowance 12. Non-operating activities 13. Profit margin 14. Contra revenue account...
10. Match the following definitions: (1) The ability to convert an asset into cash (2p each, total 20p) e ability to convert an asset into cash quickly without a significant loss of its value O Raw materials, work in progress and finished goods held by the form for eventue V Expenses that have been incurred but neither the related invoice received not be A noncash expense to allocate the cost of depreciable assets, such as plant and equipment, over the...
ng are some of the terms discussed in the chapter Match concepts with descriptions 1. Gross profit 2. Perpetual inventory system 3. Cost of goods sold 4. Purchase returns 5. Freight out 6. FOB shipping point 7. Periodic inventory system 8. Subsidiary ledger 9. Sales discounts 10. FOB destination 11. Sales allowance 12. Non-operating activities 13. Profit margin 14. Contra revenue account 15. Merchandise inventory 16. Purchase discounts Instructions Match each term with the best description below. Beah tomm ma....
Question 2 (30%) Matching the following statement with the BEST accounting term: Description (1) A detailed inventory record is maintained, recording each purchase and sale during the accounting period. (2) Systematic allocation of the cost of an asset to expense during the period of its useful life. (3) An increase in equity resulting from profitable operation. 4) A liability account used to record the obligation to provide future services when cash has been received before revenues have been earned. Term...
Which of the following is considered part of the asset classification Long-Term Investments? A. B. C. D. A building housing a company's administrative activities. Cash equivalents. A sinking fund established to retire bonds payable maturing in 20 years. Securities classified as held-to-maturity that mature within the next 12 months. Which of the following events related to accounts receivable causes a decrease to total assets? B. C. D. A write-off of an account receivable. A collection of an account receivable. A...
10. Match the following definitions: (2p each, total 20p) The ability to convert an asset into cash quickly without a significant loss of its value. Raw materials, work in progress, and finished goods held by the firm for eventual sale. ( ) Expenses that have been incurred but neither the related invoice received nor paid. ( ) A noncash expense to allocate the cost of depreciable assets, such as plant and equipment, over the life of the asset. (Money owed...
TRUE/FALSE 1) The return on total assets ratio is not a profitability measure. 1) 2) The return on total assets can be calculated as profit margin divided by total asset turnover. 2) 3) A company that has days' sales uncollected of 30 days and days' sales in inventory of 18 days implies that inventory will be converted to cash in about 12 days. 3) 4) The higher the accounts receivable turnover, the less quickly accounts receivable are collečted.4) 5) Efficiency...
Most questions answered within 3 hours.
-
An infinite sheet of charge that has a surface charge density of
39 nC/m2 lies in...
asked 37 minutes ago -
After watching the lectures I am still having a hard time
understanding these equations.
1. The...
asked 1 hour ago -
Testing:
H0:μ=56.9
H1:μ<56.9
Your sample consists of 23 subjects, with a mean of 56.3 and
standard...
asked 1 hour ago -
straight wire, labeled as Wire A, lies horizontally on a
tabletop and is oriented to run...
asked 1 hour ago -
For a Chi-Squared Goodness of Fit Test about a uniform
distribution, complete the table.
Round to...
asked 2 hours ago -
Milk of magnesia is only slightly soluble in water. Kc for the
reaction Mg(OHs)(s)>Mg2+(a) + 2OH-1(aq)...
asked 2 hours ago -
Excel's HYPGEOM.DIST function can be used to compute _____.
a. both hypergeometric probabilities and cumulative
hypergeometric...
asked 2 hours ago -
The rocket used for the human lunar missions was the Saturn V
rocket. At liftoff the...
asked 2 hours ago -
1. The East Street Bagel Shop has a weekly demand for 3,500
bagels, which they make...
asked 2 hours ago -
paraphrasing each paragraph
“Where two or more persons knowingly act together unlawfully,
the act of each...
asked 2 hours ago -
The lateral line system in fish is contained which of the
following?
chemoreceptors
photoreceptors
mechanoreceptors
odor...
asked 2 hours ago -
Find the y-intercept of y =-5 x. The y-intercept of y equals
negative 5 x is______...
asked 2 hours ago