Given Below Is a Balance Sheet of Incrad Clothes,a Partnership

question 17

Multiple Choice

Given below is a balance sheet of Incrad Clothes,a partnership firm,as at 30 June 2017. $\begin{array}{|l|l|l|l|}\hline{\text { Assets }} & &{\text { Liabilities }} & \\\hline \text { Cash } & \$ 14,000 & \text { Accounts payable } & \$ 10,000 \\\hline \text { Inventory } & 56,000 & \text { Bank loan } & 26,000\\\hline \text { Furniture } & 12,000 & \text { Partners' equity } & \\\hline \text { Computer } & 15,000 & \text { Chad, capital } & 45,000 \\\hline \text { Other assets } & \underline{22,000} & \text { Brad, capital } & \underline{38,000} \\\hline \text { Total assets } & \$ 119,000 & \begin{array}{l}\text { Total liabilities and } \\\text { partners'equity }\end{array} &\$119,000\\\hline\end{array}$ With regard to the above table,which of the following statements is true?

• A)Brad and Chad have limited liabilities for the partnership's debts because it is a limited liability company.
• B)The bank loan of $26,000 is part of the partners' equity.
• C)The computer was purchased at a cost less than $14,000.
• D)The current market value of the furniture is $10,000.

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Definitions:

Circadian Rhythms

Physical, mental, and behavioral changes that follow a 24-hour cycle, primarily influenced by light and darkness in an organism's environment.

Genes

The basic physical and functional units of heredity, made up of DNA, that determine specific characteristics by encoding proteins.

Environmental Factors

External influences that can affect the development, behavior, and survival of organisms, including climate, geography, pollutants, and socioeconomic conditions.

Sleep-Wake Cycles

The natural, cyclical pattern of alternating states of sleep and wakefulness.