ACC 210 Ncsu Exam 1Questions And Correct Answers.

Asset - Answer something that has future economic benefit Asset examples - Answer cash, accounts receivable, inventory, prepaid insurance, equipment Liability - Answer a debt owed to others Liability examples - Answer accounts payable, unearned revenue, note payable Dividends - Answer money that a company has promised to give to its stockholders Equity - Answer Common stock, retained earnings, revenues Accounting equation - Answer assets= liabilities + stockholders equity Intangible asset - Answer derives its value from the rights and privileges it provides the owner. The statement of cash flows would disclose the payment of a dividend where? - Answer in the financing activities section. The relationship between current assets and current liabilities is important in evaluating a company's - Answer liquidity what is the current ratio? Current assets Current liabilities $ 21,000 $15,000 - Answer 1.40:1 (assets/liabilities)