On June 30, a company paid $3,600 for insurance premiums for the current year and debited the amount to Prepaid Insurance. At December 31 . the bookkeeper forgot to record the amount expired. The omission has the following effect on the financial statements prepared December 31:
a. overstates owners' equity.
b. overstates assets.
c. understates net income.
d. overstates both owners' equity and assets.
D
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Which of the following ASEAN countries alone accounts for more than one-third of 2014 two-way trade exports with the United States?
A) Brunei B) Malaysia C) Singapore D) Thailand E) Vietnam
Which of the following should be considered when analyzing manufacturing overhead variances?
A) whether costs incurred are product costs or period costs B) whether direct materials costs are higher than standard costs C) whether certain manufacturing overhead costs are controllable D) whether direct labor costs can be reduced
Eagle Company has $12,000 in cash, $4,000 in marketable securities, $23,000 in current receivables, $22,000 in inventories, and $32,000 in current liabilities. The company's quick ratio is closest to:
A) 1.09 to 1 B) 1.22 to 1 C) .72 to 1 D) 2.65 to 1
Zeron Corporation is incorporated in the state of West Virginia. It now wants to open a retail outlet in Kentucky. Zeron must obtain a certificate qualifying it to do business in the state of Kentucky
a. True b. False Indicate whether the statement is true or false