ACCT 304 WEEK 2 QUIZ 1

WEEK 2 QUIZ 1 1. (TCO 4) Cash equivalents would not include (Points : 5) 2. (TCO 4) Rent collected in advance is (Points : 5) 1. (TCO 4) An asset that is not expected to be converted to cash or to be consumed within one year of the operating cycle is (Points : 5) 1. (TCO 4) Current assets include cash and all other assets expected to become cash or to be consumed (Points : 5) Question 2.2. (TCO 4) Which is a shareholders' equity account in the balance sheet? (Points : 5) 3. (TCO 4) Janson Corporation Co.'s trial balance included the following account balances at December 31, 2011: Accounts Payable $25,000 Bond Payable, due 2020 22,000 Salaries payable 16,000 Note payable, due 2012 20,000 Note payalbe, due 2016 40,000 What amount should be included in the long-term liability section of Janson's December 31, 2011 balance sheet? (Points : 5) Question 3.3. (TCO 4) Janson Corporation Co.'s trial balance included the following account balances at December 31, 2011: Accounts receivable $12,000 Inventories 40,000 Patent 12,000 Investments 30,000 Prepaid insurance 6,000 Note receivable, due 2014 50,000 Investments consist of treasury bills that were purchased in November and mature in January. Prepaid insurance is for the next two years. What amount should be included in the current asset section of Janson's December 31, 2011 balance sheet? (Points : 5) Question 4.4. (TCO 4) The management discussion and analysis sections of the annual report can best be described as (Points : 5) Question 5.5. (TCO 4) Below is the partial balance sheet ($ in thousands) for Paisano Seafood Inc. Current Assets: Current Liabilities: Cash $60 Accounts payable $240 Accounts receivable (net) $170 Other liabilities $80 Notes receivable $50 Total current liabilities $320 Inventories $200 Long-term liabilities $110 Prepaid expenses $25 Total liabilities $430 Total current assets $505 Plant assets (net) $255 Shareholders’ equity: Capital stock $150 Retained earnings $180 Total Shareholders’ equity $330 Total assets $760 Total liabilities and equity $760 Working capital is (Points : 5)