On May 31, a retail firm pays rent of $2,400 for the month of May. When this transaction is recorded in the cash payments journal, ________.
A) assets and equity will increase by $2,400
B) assets and liabilities will decrease by $2,400
C) assets and equity will decrease by $2,400
D) liabilities and equity will increase by $2,400
C) assets and equity will decrease by $2,400
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After a leveraged buyout, __________ typically occur(s).
A. selling of assets B. further rounds of acquisitions C. due diligence D. private synergy
Answer the following statements true (T) or false (F)
1. Earnings per share is a liquidity measure that is used to compare companies of different sizes. 2. Earnings per share is calculated as net income plus preferred dividends divided by the average number of common shares outstanding. by the average number of common shares outstanding. 3. FASB requires that earnings per share be reported on the income statement. 4. A higher price/earnings ratio signifies a higher return on investment. 5. The price/earnings ratio is the ratio of the earnings per share of common stock to the market price of a share of the common stock.
In credit terms of 3/15, n/45, the "3" represents the
A) number of days in the discount period B) full amount of the invoice C) number of days when the entire amount is due D) percent of the cash discount
One reason not to depend solely on historical records to set standards is that there may be inefficiencies contained in past costs
Indicate whether the statement is true or false