On the work sheet, if the total of the Debit column of the Balance Sheet section exceeds the total of the Credit column of the Balance Sheet section, the difference is a net loss

Indicate whether the statement is true or false


F

Business

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Smith Company reported $350,000 in book income before income tax during 2018, its first year of operation. The tax depreciation exceeded its book depreciation by $30,000. The tax rate for 2018 and all future years was 40%. What amount of deferred tax liability should Smith report in its December 31, 2018, balance sheet?

A. $ 10,000 B. $ 9,000 C. $ 8,000 D. $ 12,000

Business

Which of the following is an example of an accrual?

A) The purchase of office supplies. B) Wages expense incurred but not yet paid. C) Rent revenue collected in advance. D) Payment of two years' insurance in advance.

Business

An employee whose wife suffered from breast cancer was terminated after a change of ownership of the company. He asked whether their health insurance would continue, and was told verbally that it would. Nine months later when his wife sought treatment, she was advised the policy had been terminated. He and his wife sued for a violation of COBRA. The court should rule:

a. for the employer, since it was a new owner, and not the employer of the employee. b. for the employer, since the employee never requested in writing that their insurance be continued c. for the employee, since he was not given notice of his COBRA rights in writing d. for the employee's wife, because she was also an insured, but was given no notice of her COBRA rights

Business

Under the RMBCA, corporate existence begins when the articles of incorporation are filed with the secretary of state

Indicate whether the statement is true or false

Business