1. answer true or false for the phrases below.

( This is all one question ! )

*Return on Assets equals net income divided by average total assets.

*Operating leases are more like a purchase of an asset than a shorter-term lease.

*Treasury stock, a component of stockholders' equity, is added to (ie., NOT subtracted from) stockholders' equity.

*Liabilities = Assets - Stockholders' Equity

*Equity financing refers to obtaining investment from stockholders (stockholders' equity).

2. Which of the following is a type of aggressive accounting practice?

Group of answer choices

Increase the allowance for uncollectible accounts

Record a larger expense for warranties

Wait to record revenue until the cash is collected

Increase the useful life for calculating depreciation

*The Debt to Equity Ratio equals total liabilities divided by stockholders' equity.

answer both questions for rating :)