ACCT 5315 Module 2 Quiz Questions

Assets are recorded in the balance sheet in order of:

Liquidity

Which of the following are included in current assets?

Prepaid rent

At year-end, Rapid Airlines had negative net working capital of $(1,877) million and current assets of $3,598 million.

The firm’s current liabilities are:

$5,475 million

Which one of the following is not a current liability?

Wage expense

Which of the following is included as a component of stockholders' equity?

Retained earnings

As inventory and property plant and equipment on the balance sheet are consumed, they are reflected:

As an expense on the income statement

Interest expense appears in which financial statement?

Income statement

During the year, Macur Inc. had sales of $4,365,320, total expenses of $4,110,902 and gross profit of $2,043,513.

What was the company's cost of sales for the year?

$2,321,807

On its year-end balance sheet, Blue Corporation, reported cash of $354 million at year-end. The statement of cash flows reports that cash increased by $92 million during the year and that net cash flow from operating activities was $1,306 million.

What was the cash flow from investing activities during the year?

There is not enough information to determine the amount