QUIZ – Temporary accounts do NOT include
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
Asks which is NOT temporary
Asks which is NOT temporary
Consider the following items: Land, Accounts Receivable 3 year Notes Payable (due in three years), Accounts Payable, Prepaid Rent, Deferred Revenue, Buildings, Notes Payable (due in three months), Equipment. Which items listed are long-term assets?
Why is a company’s book value less than its market value?
Working capital is equal to what:
At a specific point in time, the balance sheet displays the financial position of a company.
Generally, a company’s market value is lower than its book value.
The balance of net receivables is the amount expected to be collected.
If the services obtained are likely to expire within the operating cycle or 12 months, whichever is longer, prepaid expenses are classified as current assets.
The classification of property, plant, and equipment assets consists of machinery, equipment, and inventory.
Current assets usually include intangible assets on the balance sheet.