Use the Information Below to Answer the Following Questions

question 20

Multiple Choice

Use the information below to answer the following questions.
Fact 24.1.2
In July 2011, currency held by individuals and businesses was $57 billion; chequable deposits owned by individuals and businesses were $211 billion; non-chequable personal deposits were $163 billion; non-chequable business deposits were $29 billion; and fixed term deposits were $303 billion.
-Consider Fact 24.1.2. M2 is

• A)$57 billion.
• B)$268 billion.
• C)$431 billion
• D)$460 billion.
• E)$763 billion.

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Definitions:

Adjustment

A change made to the book value of an asset or liability to accurately reflect its value.

Subsidiary

A company that is completely or partly owned and partly or wholly controlled by another company.

FIFO Inventory Reporting

An approach to reporting inventory where the oldest stock is recorded as sold first; reiterates the First-In, First-Out method in financial statements.

Consistent Application

The principle that accounting rules and methods should be applied the same way in each accounting period to ensure comparability of financial statements.