A Balance Sheet Lists Assets in Order of Their ________

question 235

Multiple Choice

A balance sheet lists assets in order of their ________.

• A) dollar value, from smallest to largest
• B) date of acquisition, with the most recently acquired assets listed first
• C) liquidity, with the most liquid assets listed first
• D) income generating ability

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Definitions:

Direct Labor

The labor cost attributed directly to the production of goods or services.

Standard Cost

A predetermined cost of manufacturing a single unit or a number of units of a product, calculated for managerial accounting purposes.

Materials Quantity Variance

A measure of the difference between the actual quantity of materials used in production and the expected quantity, multiplied by the standard cost per unit.

Materials Price Variance

The deviation from the standard to the real price of materials, calculated by multiplying this difference by the amount of materials bought.