QUESTION 20

1. Which table would you use to determine how much you would need to have deposited three years ago at 10% compounded annually in order to have $1,000 today?
2. a.Future value of 1 or present value of 1
3. b.Future value of an annuity due of 1
4. c.Future value of an ordinary annuity of 1
5. d.Present value of an ordinary annuity of 1

QUESTION 21

1. The figure .94232 is taken from the column marked 2% and the row marked three periods in a certain interest table. From what interest table is this figure taken?
2. a.Future value of 1
3. b.Future value of annuity of 1
4. c.Present value of1
5. d.Present value of annuity of 1

QUESTION 22

1. Assume ABC Company deposits $25,000 with First National Bank in an account earning interest at 6% per annum, compounded semi-annually. How much will ABC have in the account after five years if interest is reinvested?
2. a.$33,598
3. b.$25,000
4. c.$32,500.
5. d.$33,456

QUESTION 23

1. Which of the following should be recorded in Accounts Receivable?
2. a.Receivables from officers
3. b.Receivables from subsidiaries
4. c.Dividends receivable
5. d.None of the above.

QUESTION 24

1. Kaniper Company has the following items at year-end:
2. Cash inbank$20,000
3. Pettycash300
4. Short-term paper with maturity of 2months5,500
5. Postdatedchecks1,400
6. Kaniper should report cash and cash equivalents of:
7. a.$20,000
8. b.$20,300
9. c.$25,800
10. d.$27,200

QUESTION 25

1. AG Inc. made a $10,000 sale on account with the following terms: 1/15, n/30. If the company uses the net method to record sales made on credit, how much should be recorded as revenue?a.$9,800
2. b.$ 9,900
3. c.$10,000
4. d.$ 10,100