ACC 577 Week 2 Quiz( 100 % Correct Answers)
Compared to the accrual basis of accounting, the cash basis of accounting understates income by the net decrease during the accounting period of
Question 17
On July 1, 20x2, Dewey Co. signed a 20-year building lease that it reported as a capital lease. Dewey paid the monthly lease payments when due. How should Dewey report the effect of the lease payments in the financing activities section of its 20x2 statement of cash flows?
Question 18
In a comparison of 2004 to 2003, Neir Co.' s inventory turnover ratio increased substantially although sales and inventory amounts were essentially unchanged. Which of the following statements explains the increased inventory turnover ratio?
Question 19
Heath Co.' s current ratio is 4:1. Which of the following transactions would normally increase its current ratio?
Question 20
Which of the following levels of the fair value hierarchy, if any, requires the most extensive disclosures about fair value measurements?
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ACC 577 Week 2 Quiz( 100 % Correct Answers)