Tommy Johnson, Who Is 14 Years Old, Goes into the Local

question 69

Multiple Choice

Tommy Johnson, who is 14 years old, goes into the local clothing store and steals a pair of $120 Nike shoes.  The store's loss prevention catches him and calls the police.

• A)The police: ​
• B)can't charge him with theft/shoplifting because he's too young.
• C)may consider charging him with theft/shoplifting because 14 years old is the age of reason for most states.
• D)will automatically charge him for theft/shoplifting in adult court.
• E)will charge him with a crime since he is 14 years old, regardless of circumstances.

---

Definitions:

Net Income

The total profit of a company after subtracting all expenses, taxes, and costs from total revenue.

Statement Of Cash Flows

A financial statement that highlights the major activities that impact cash flows and, hence, affect the overall cash balance.

Operating Activities

These involve the primary day-to-day activities of a business, such as sales and the purchase of goods or services, which are reflected in its cash flow.

Comparative Balance Sheet

A financial statement that presents the financial position of a company at two or more different points in time, allowing for analysis of trends in assets, liabilities, and equity.