The rate of return on total assets measures a company's success in using its assets to earn a profit

Indicate whether the statement is true or false


TRUE

Business

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Uniform Supply accepted a $4,800, 90-day, 10% note from Tracy Janitorial on October 17. If the note is dishonored, but Uniform Supply intends to continue collection efforts, what entry should Uniform Supply make on January 15 of the next year? (Assume no reversing entries are made.) (Use 360 days a year.)

A. Debit Cash $4,920; credit Notes Receivable $4,920. B. Debit Cash $4,920; credit Interest Revenue $100; credit Interest Receivable $20, credit Notes Receivable $4,800. C. Debit Notes Receivable $4,800; debit Interest Receivable $120; credit Sales $4,920. D. Debit Accounts Receivable $4,920; credit Interest Revenue $20; credit Interest Receivable $100, credit Notes Receivable $4,800. E. Debit Cash $4,920; credit Interest Revenue $20; credit Interest Receivable $100, credit Notes Receivable $4,800.

Business

Express the following balance sheets for Safety Company in common-size percentages.Safety CompanyBalance SheetsFor the years ended December 31?Year 2Year 1Assets??Cash$ 43,000$ 22,000Accounts receivable38,00042,000Merchandise inventory61,00052,000Prepaid insurance6,0009,000Long-term investments49,00020,000Plant assets (net)218,000218,000Total assets$415,000$363,000???Liabilities and Equity??Current liabilities$ 62,000$ 75,000Long-term liabilities45,00036,000Common stock150,000150,000Retained earnings  158,000  102,000Total liabilities and equity$415,000$363,000

What will be an ideal response?

Business

Examples:

a. are hard to overuse b. help readers understand abstract points c. both of the above d. none of the above

Business

How does counterparty risk influence a firm's decision to trade exchange-traded derivatives rather than over-the-counter derivatives?

What will be an ideal response?

Business