Realized gains and losses on investments available for sale are reported a. as a current asset b. on the income statement c. on the balance sheet as part of stockholders' equity d. as a contra asset
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8. Realized gains and losses on investments available for sale are reported
a. as a current asset
b. on the income statement
c. on the balance sheet as part of
d. as a contra asset
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- Which of the following is a measurement of earnings that represents the profit before interest, taxes, depreciation and amortization are subtracted? A. net income B. retained earnings C. EBITDA D. EPSThe account Gain (Loss) on Sale of Investments should be included on the: A. balance sheet as an adjustment to stockholders' equity. B. statement of retained earnings. C. income statement as other revenue (expense). D. balance sheet as an adjustment to the asset account.A debit balance in the Retained Earnings accounts is reported as a (an) a. assetb. contra-liabilityc. liabilityd. contra-equity
- "Accrued interest income" would normally appear in the financialstatement under A. Current assetsB. Noncurrent assetsC. RevenueD. EquityIdentify the asset from the following list of accounts:a. Notes Payableb. Common Stockc. Retained Earningsd. InventoryThe account Valuation Allowance for Investments in Common Stock is included on the: A. statement of retained earnings. B. balance sheet as an adjustment to stockholders' equity. C. balance sheet as an adjustment to the investment asset account. D. income statement as other revenue (expense).
- What data flows from the statement of retained earnings to the balance sheet?a. Net incomeb. Cashc. Ending retained earningsd. AssetsNet income appears on which financial statement(s)?a. Balance sheetb. Income statementc. Statement of retained earningsd. Both b and cFor each item below, indicate to which category of elements of financial statements it belongs. a. Retained earnings. b. Sales. c. Additional paid-in capital. d. Inventory. e. Depreciation. f. Loss on sale of equipment. g. Interest payable. h. Dividends. i. Gain on sale of investment. j. Issuance of common stock.
- 6. RequiredState whether each item is reported:1. in the statement of financial position2. in profit or loss in the statement of profit or loss and other comprehensive income3. as other comprehensive income in the statement of profit or loss and other comprehensive income4. in the statement of changes in equity5. in the notes to the financial statements.Item How item shown in financial statements(a) loss on revaluation of availablefor-sale investments(b) finance expenses(c) aggregate dividends declared and paid during the year(d) revaluation loss on building (not reversing any previous revaluation)(e) allowance for doubtful debts(f) transfer from retained earnings to general reserve(g) contractual commitments under an operating lease(h) deferred tax liabilityWhat item flows from the income statement to the statement of retained earnings?a. Cashb. Dividendsc. Net incomed. InventoryFor each ofthe following accounts, identify whether that item is an asset, liability, or equity account.a. Bonds payableb. Equipmentc. Accounts payabled. Salaries payablee. Common stockf. Retained earningsg. Cashh. Accounts receivablei. Sales revenuej. Inventory