Which of the following is a reason for diminishing liquidity in modern corporations?
A) Just-in-time inventory programs.
B) Better utilization of cash via computers.
C) Increased use of point-of-sale terminals.
D) All of the options are reasons for diminishing liquidity.
D) All of the options are reasons for diminishing liquidity.
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The general form of the multiple regression model is: Y = ?0 + ?1 X1 + ?2 X2 + ?3X3 + .... + ?kXk + e
Indicate whether the statement is true or false
Which of the following is not true?
a. Acquisition cost for a merchandising firm includes the costs incurred to purchase and transport the inventory prior to sale. b. Acquisition cost for a manufacturing firm includes the direct material, direct labor, and manufacturing overhead cost to produce the inventory. c. If the market values of inventory items decline below acquisition cost prior to sale, firms must reduce their balance sheet carrying values using the lower of cost or market method. d. U.S. GAAP uses a combination of replacement cost and net realizable values to measure market value. e. U.S. GAAP and IFRS permits firms to remeasure inventories upward when market value exceeds acquisition cost.
Answer the following statements true (T) or false (F)
1. In accrual accounting, accrued revenues are recorded as liabilities. 2. Depreciation expense is an example of an accrued expense. 3. Earned but uncollected revenues are recorded during the adjusting process with a credit to a revenue account and a debit to an expense account. 4. Depreciation expense for a period is the portion of a plant asset's cost that is allocated to that period. 5. All plant assets, including land, are depreciated.
A transaction loss occurs when an asset is disposed of at less than its basis
a. True b. False Indicate whether the statement is true or false