Answer the question from Financial Statement Analysis

QUESTIONS [Superscript A(B,C) identifies assignment material based on Appendix 3A (3B, 3C).] 3-1. Explain major forms of financing and their characteristics. 3-2. Explain the difference between operating and financing liabilities. 3-3. What are the major forms of financing liabilities? Which are long term and which are short term? 3-4. Explain how bond discounts and premiums usually arise. Describe how they are accounted for in the balance sheet and income statement. 3-5. Describe how fair value accounting for long-term debt works. How does it differ from the current account- ing using amortized cost? 3-6. How do we account for short-term debt? What is the logic for this approach? 3-7. Describe the major disclosure requirements for long-term debt. 3-8. Describe the usefulness and the problems with reporting long-term debt at (1) face value, (2) amortized cost, and (3) fair values. 3-9. What are the various forms of protections that lenders incorporate into their debt contracts? 3-10. What do we mean by seniority of debt? What consideration should an analyst keep in mind when analyz- ing debt seniority