Question: Please help me to select the correct answers. thanks Question 1) The current assets section of the balance sheet should include a) patents. b) goodwill.
Please help me to select the correct answers. thanks
Question 1)
The current assets section of the balance sheet should include
a) patents.
b) goodwill.
c) inventory.
d) machinery.
Question 2)
Making and collecting loans and disposing of property, plant, and equipment are
a) liquidity activities.
b) operating activities.
c) investing activities.
d) financing activities.
Question 3)
In a statement of cash flows, proceeds from issuing equity instruments should be classified as cash inflows from
a) lending activities.
b) operating activities.
c) investing activities.
d) financing activities.
Question 4)
Equity or debt securities held to finance future construction of additional plants should be classified on a statement of financial position as
a) current assets.
b) intangible assets.
c) property, plant, and equipment.
d) non-current investments.
Question 5)
Which of the following statements best describes a liability?
a) A liability is a legal economic benefit.
b) Any obligation, whether enforceable or not, is a liability.
c) A liability is an enforceable economic burden or obligation.
d) Deferred income taxes are always shown as liabilities.
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