1. Entity A reported the following items on its balance sheet at the end of the current year. All accounts are listed. Cash $45,000 Accounts payable 80,000 Property, plant & equipment 200,000 Long-term debt 60,000 Common stock 150,000 Accounts receivable 90,000 Retained earnings ? Inventory 75,000 What is Entity As Retained Earnings balance at the end of the current year?

   		$270,000
   		$410,000
   		$140,000
   		$120,000

2.5 points

QUESTION 6

1. Entity I forgot to record four adjusting entries during 2019. Which one of the following omissions will understate net income?

   		Interest on monies borrowed has not yet been recorded.
   		Income taxes owed but not yet paid are ignored.
   		Credit sales made during the last week of the period are not recorded.
   		Prepaid insurance is not reduced for the portion of the policy that has expired during the period.

2.5 points

QUESTION 7

1. Assets which are expected to be realized in cash, sold or consumed generally within a year are reported on a classified balance sheet as:

   		Property, Plant and Equipment.
   		Intangible Assets.
   		Current Assets.
   		Current Liabilities.