The Following Items Are Taken from the Financial Statements of the Postal

question 116

Multiple Choice

The following items are taken from the financial statements of the Postal Service for the year ending December 31, 2015: $$\begin{array} { l r } \text { Accounts payable } & \$ 18,000 \\\text { Accounts receivable } & 11,000 \\\text { Accumulated depreciation - equipment } & 28,000 \\\text { Advertising expense } & 21,000 \\\text { Cash } & 15,000 \\\text { Common stock } & 42,000 \\\text { Dividends } & 14,000 \\\text { Depreciation expense } & 12,000 \\\text { Equipment } & 210,000 \\\text { Insurance expense } & 3,000 \\\text { Note payable, due 6/30/16 } & 70,000 \\\text { Prepaid insurance (12-month policy) } & 6,000 \\\text { Rent expense } & 17,000 \\\text { Retained earnings (1/1/15) } & 60,000 \\\text { Salaries and wages expense } & 32,000 \\\text { Service revenue } & 133,000 \\\text { Supplies } & 4,000 \\\text { Supplies expense } & 6,000\end{array}$$ The sub-classifications for assets on the company's classified balance sheet would include all of the following except

• A) Current Assets.
• B) Property, Plant, and Equipment.
• C) Intangible Assets.
• D) Long-term Assets.

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Definitions:

Stale Food

Food that has lost its freshness and become dry, hard, or spoiled due to exposure to air or lapse of time.

Explains

Provides information or details about something to make it understandable.

Social Cognitive Theory

A theory of learning and social behavior which proposes that new behaviors can be acquired by observing and imitating others.

Rewards

Benefits, often in the form of goods, services, or recognition, given to an individual as compensation or encouragement for their behavior or performance.