Solved

Match Each Balance Sheet Account to Appropriate Method for Measuring

Question 40

Matching

Match each balance sheet account to appropriate method for measuring its value by placing the appropriate letter in the space provided.

Premises:
Receivables net of allowance for doubtful accounts
Prepaid expenses
Investment securities available for sale
Patents
Raw materials inventory adjusted downward to lower of cost or market
Capital lease obligations
Financial instruments
Property, plant, and equipment
Bonds payable
Trading securities
Responses:
historical cost
current replacement cost
fair value
net realizable value
present value

Correct Answer:

Receivables net of allowance for doubtful accounts
Prepaid expenses
Investment securities available for sale
Patents
Raw materials inventory adjusted downward to lower of cost or market
Capital lease obligations
Financial instruments
Property, plant, and equipment
Bonds payable
Trading securities
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