FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question
Which of the following is correct?
(i) Liabilities = Assets + Capital
(ii) Assets = Liabilities – Capital
(iii) Capital = Assets – Liabilities
(iv) Capital = Assets + Liabilities.
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- Question: What is the formula for calculating the current ratio? a. Current Assets / Current Liabilitiesb. Current Liabilities / Current Assetsc. Total Assets / Total Liabilitiesd. Total Liabilities / Total Assetsarrow_forwardExchanges of assets for assets have what effect on equity?arrow_forwardPart I: Answer the question as following 1. What is capital and define the capital? 2. Explain the types of capital. 3. What is capitalization? 4. What are the kinds of capitalization? 5. Explain the effects of under capitalization. 6. Discuss the causes of over capitalization. 7. Differentiate the capital structure and financial structure.arrow_forward
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