eventually be collected.
· Question 5 A concentration of credit risk is a threat of nonpayment from a single customer or class of customers that could adversely affect the financial health of the company.
· Question 6 Which of the following is not a common way that managers use the ba lance sheet?
· Question 7 Financing activities include the purchase or sale of longlived assets or the purchase or sale of investment securities.
· Question 8 Bathlinks Corporation has a debt to assets ratio of 73 %. This tells the user of Bathlinks‘ s financial statements that
· Question 9 Owners of business firms are the only people who need accounting inf ormation.
· Question 10 Marvin Services Corporation had the following accounts and balances: If the balance of the Buildings account was $ 45,000 and the equipmen t was sold for $ 21,000, what would be the total of stockholders ' equity?
· Question 11 Consistent use of the same accounting principles and methods is neces sary for meaningful analysis of trends within a company.
· Question 12