Examlex

Solved

Use the Table for the Question(s) Below -
If the Above Balance Sheet Is for a Retail

question 11

Multiple Choice

Use the table for the question(s) below.
Balance Sheet  Assets  2011 2012 Current Assets  Cash 5046 Accounts receivable 2212 Inventories 1738 Total current assets 8996 Liabilities 20112012 Current Liabilities  Accounts payable 4248 Notes payable/short-term debt 75 Total current liabilities 4953 Long-Term Assets Net property, plant, and equipment 121116 Total long-term assets 121116 Total Assets210212 Long-Term Liabilities  Long-term debt 128136 Total long-term liabilities 128136 Total Liabilities 177189 Shareholders’ Equity 3323 Total Liabilities and 210212 Shareholders’ Equity \begin{array} { l } \text {Balance Sheet }\\\begin{array}{lll}\text { Assets } & \text { 2011 } & 2012 \\\text { Current Assets } & & \\\hline\text { Cash } & 50 & 46 \\\text { Accounts receivable } & 22 & 12 \\\text { Inventories } & 17 & 38 \\\text { Total current assets } & 89 & 96\end{array}&\begin{array}{lll}\text { Liabilities } & 2011 & 2012 \\\text { Current Liabilities } & & \\\hline \text { Accounts payable } & 42 & 48 \\\text { Notes payable/short-term debt } & 7 & 5 \\\\\text { Total current liabilities } & 49 & 53\\\end{array}\\\\\begin{array}{lll} \text { Long-Term Assets}\\\hline \text { Net property, plant,}\\\text { and equipment } & 121 & 116 \\ \text { Total long-term assets } & 121 & 116\\\\\\\text { Total Assets}&210&212\\\end{array}&\begin{array}{l}\text { Long-Term Liabilities }\\\hline\text { Long-term debt } & 128 & 136 \\\text { Total long-term liabilities } & 128 & 136 \\\text { Total Liabilities } & \mathbf{1 7 7} & 189 \\\text { Shareholders' Equity } & 33 & 23 \\\text { Total Liabilities and } & 210 & 212 \\\text { Shareholders' Equity } & &\end{array}\end{array}

-
If the above balance sheet is for a retail company, what indications about this company would best be drawn from the changes in the balance sheet between 2011 and 2012?


Definitions:

Taking Sides

The act of supporting one position over another in a dispute, debate, or conflict.

Good Writing Skills

The ability to express ideas clearly and effectively in written form.

American Arbitration Association

A not-for-profit organization that provides arbitration and mediation services to individuals and organizations to resolve disputes outside of court.

Court-appointed Attorneys

Lawyers assigned by a court to represent defendants who cannot afford legal representation.

Related Questions