Exam 4: The Balance Sheet and the Statement of Shareholders Equity

The measurement of an asset's value based on the discounted future cash flows relating to the asset is

All of the following items would appear on the balance sheet except

The ease with which an asset can be converted into cash is termed

Exhibit 4-1 Given the following information for Blue Bell Company for last year: -Refer to Exhibit 4-1. Blue Bell's current ratio at December 31 was

On the balance sheet, treasury stock is presented as a

Briefly describe how the sequence of accounts presented on the balance sheet is different for IFRS and U.S. GAAP?

Efficiency ratios are measures of

When analyzing financial statement data across companies, users must take into account differences in business strategies and accounting practices in order to draw correct inferences from common-size analysis, rate of change analysis, and ratio analysis. List five categories of ratio analysis used to evaluate a company's performance.

Equity of a wholly-owned company is comprised only of contributed capital and earned capital.

A corporation's balance sheet is usually divided into three primary sections with various classifications reported within each section group in an informative manner. Listed below are some typical classifications within a section. Contributed capital $\quad$ $\quad$ Other assets Current assets $\quad$ $\quad$$\quad$ $\quad$ Other liabilities Current liabilities $\quad$ $\quad$ $\quad$ Property, plant, and equipment Intangible assets $\quad$ $\quad$$\quad$$\quad$ Retained earnings Long-term investments $\quad$ $\quad$ Accumulated other comprehensive income Long-term liabilities Required: Identify each of the three balance sheet sections and list the classifications within each section in the appropriate order.

A reader of a set of financial statements would expect to be able to find in the statement of changes in shareholders' equity

A friend comes to you with a set of financial statements that he thinks contains an error. The footnotes contain a note on a bond issue sold after the end of the reporting period. Your friend is sure this is an error because the transaction occurred after the cutoff date for the financial statements. Required: Explain to your friend why certain items that occur after the end of an accounting period are included in the financial statements and the manner in which they can be disclosed.

Long-term investments are listed on the balance sheet at historical cost.

List the financial statements that report changes in the financial position of a company during a period.

Most long-term liabilities are reported on the balance sheet at their

An asset is valued by the price that would be received by selling it in an orderly transaction between market participants on the date of measurement. Which measurement method is being used in this case?

Exhibit 4-1 Given the following information for Blue Bell Company for last year: -Refer to Exhibit 4-1. Blue Bell's return on assets for the year was

Which of the following is a probable future sacrifice of economic benefits arising from present obligations as a result of past events?

Intangible assets include all of the following except

A comparison of a company's performance with that of its own past results is known as