2. Under normal conditions which financial statement is generally prepared first in the sequence of financial statement preparation. a. Balance Sheet b. Statement of Cash Flows c. Income Statement 4. On December 30, 2020 ABC Inc. had $500,000 in current assets and $200,000 in current liabilities. On December 31, 2020 the firm collected $40,000 in outstanding AR and paid $50,000 in outstanding AP. Between December 30 and December 31 the value of the firms current ratio__________ a. Increased b. Decreased c. Stayed the same 5. In ranking from least potential cash flow risk to highest potential risk for the issuing firm the following order is appropriate a. Corporate Bonds, Common Stock, Preferred Stock b. Preferred Stock, Common Stock, Corporate Bonds c. Common Stock, Preferred Stock, Corporate Bonds d. Corporate Bonds, Preferred Stock, Common Stock 6. An invested dollar amount, earning an annual rate of return of 9%, will double (read this as also nearly or just over double) in value in approximately ________ years. a. 7 b. 8 c. 9 d. 10