(TCO 4) Cash equivalents would not include

cash not available for current operations.

money market funds.

United States Treasury bills.

bank drafts.

Question 2. Question :

(TCO 4) Which is a shareholders’ equity account in the balance sheet?

Accumulated depreciation

Paid-in capital

Dividends payable

Marketable securities

Instructor Explanation: See Chapter 3.

Points Received: 4 of 4

Comments:

Question 3. Question :

(TCO 4) Janson Corporation Co.’s trial balance included the following account balances at December 31, 2011:

Investments consist of treasury bills that were purchased in November and mature in January. Prepaid insurance is for the next 2 years. What amount should be included in the current asset section of Janson’s December 31, 2011 balance sheet?

$88.000

$85,000

$55,000

$135,000

Question 4. Question :

(TCO 4) Which of the following would be disclosed in the summary of significant accounting policies disclosure note?

Option A

Option B

Option C

Option D

Question 5. Question :

(TCO 4) Below is the partial balance sheet ($ in thousands) for Paisano Seafood Inc.

The current ratio (rounded) is

1.98.

1.58.

1.17.

0.66.