Answer the following statement(s) true (T) or false (F)
6. Sally is worried about her backlog report. This is a report on orders that have been delivered but not yet paid by the customers.
7. Sandy’s balance sheet is partially completed. However, she has total assets of $120,000 and total stockholder’s equity of $15,000. Her liabilities should total $105,000.
8. Sandy’s balance sheet shows assets of $120,000, liabilities of $100,000 and stockholder’s equity of $25,000. Her balance sheet is in balance.
9. Currents assets are cash and other assets such as inventory, accounts payable, and prepaid expenses that can be converted into cash within a year.
10. Goodwill is the price paid for an asset in excess of its book value. This usually occurs when a company acquires another business.
6. False
7. True
8. False
9. False
10. True
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