When a Company Collects the Face Value of a Long-Term

question 45

Multiple Choice

When a company collects the face value of a long-term investment in bonds at maturity,________.

• A) total assets and equity of the firm remains unchanged
• B) both assets and liabilities of the firm increase
• C) both assets and equity of the firm increase
• D) liabilities decrease and equity increases

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Definitions:

Primary Receptor

A sensor or nerve ending that detects changes in the environment or within the body and initiates a response by sending signals to the nervous system.

Pacinian Corpuscle

A type of mechanoreceptor found in the skin and visceral organs, sensitive to deep pressure and vibration.

Taste Receptor

Cells located on the taste buds that detect chemical components of foods, allowing the sensation of taste.

Hearing Receptor

Specialized cells located in the inner ear that transduce sound vibrations into neural signals.