University of Arkansas ECON 101 chapter 5 Complete Q&A (2022/2023.)

1. Which of the following tells you how you are doing today and sets the stage for any steps that need be taken to alter future activities? A. Balance sheet. B. Cash flow statement. C. Projected cash flow statement. D. Income statement. E. None of the above. 2. What is a balance sheet? A. A statement of financial position at a given point in time. B. A statement of assets that are expected to be or can be converted into cash in the next year. C. A statement of publicly traded investments. D. A statement of the future income stream of its wage earners. E. None of the above. 3. Which assets are not usually placed on balance sheets? A. Human-related assets. B. Marketable investments. C. Human assets. D. All of the above. E. Both a and c. 4. Pension plans that pay out yearly income upon retirement are an example of: A. Human-related assets. B. Marketable investments. C. Human assets. D. Current assets. E. None of the above. 5. Which of the following are placed on the right-hand side of the balance sheet? A. Credit card debts. B. Taxes outstanding. C. Mortgage debt. D. All of the above. E. None of the above. 6. What is household equity? A. The household's net worth. B. The household's assets minus its liabilities. C. The household's liabilities minus its assets. D. Both a and b above. E. None of the above. 7. A client owns a boat worth $45,000, savings of $500,000, and owes $65,000. What is the client's net worth? A. $45,000 B. $545,000 C. $480,000 D. $65,000 E. None of the above. This study source was downloaded by from CourseH on :07:11 GMT -06:00 8. Which of the following are not placed on the left-hand side of the balance sheet? A. Bonds and bond funds. B. IRAs. C. Furniture and fixtures. D. Household equity. E. All of the above are placed on the left-had side of the balance sheet. 9. Financial assets that can be turned into cash are best defined as: A. Real Estate. B. Current assets C. Marketable assets. D. Household ass