Which of the following statements is not true:
A. Accounts receivable are increased by billings to customers.
B. Accounts receivable are held by a seller.
C. Accounts receivable are classified as assets.
D. Accounts receivable arise from credit sales.
E. Accounts receivable are increased by customer payments.
Answer: E
You might also like to view...
The structure of a typical organization is similar to a pyramid, with different levels that require one consistent type of information to assist with all managerial decision making.
Answer the following statement true (T) or false (F)
Jeremy purchased a bond that may be kept until maturity and paid off with cash, or may be paid off with company stock. This bond is called a/an:
a. automatic renewable bond b. callable bond c. serial bond d. convertible bond e. convertible stock issue
Tetra Co. uses the perpetual inventory system and a FIFO cost flow method. On January 1, the company purchased 2,000 units of inventory that cost $4.00 each. On January 12, the company purchased an additional 3,000 units of inventory at a cost of $4.20 each. On January 20, Tetra Company sold 4,000 units of inventory. Which of the following entries would be required to recognize the cost of goods sold on that date?
A.
| Cost of goods sold | 16,400 | |
| Inventory | 16,400 |
B.
| Inventory | 16,600 | |
| Cost of goods sold | 16,600 |
C.
| Cost of goods sold | 16,600 | |
| Inventory | 16,600 |
D.
| Inventory | 16,400 | |
| Cost of goods sold | 16,400 |
Phuong has the following sources of investment income:Money market account interest$2,000Interest on State of New York bond1,000Dividends from domestic stocks3,000Long-term capital gain4,000Short-term capital gain5,000Barring any special elections, how much of the investment income will be included in calculating net investment income for purposes of the investment interest expense limitation?
A. $5,000 B. $7,000 C. $15,000 D. $2,000