Fangled Company Prepared the Following Balance Sheet $\quad$ $\quad$

question 100

Multiple Choice

Fangled Company prepared the following balance sheet: $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { Fangled Company }$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { Balance Sheet }$
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { December 31, } 20 \times 3$


$\begin{array}{l}\begin{array}{lll}\text { Current Assets: }\\\text { Cash } & \$ 6,000 \\\text { Accounts Receivable } & 4,000 \\\text { Inventory } & \underline{14,000} \\\text { Total Current Assets } & 24,000\end{array}\begin{array}{lll}\text { Current Liabilities: }\\\text { Accounts Payable } & \$ 3,000 \\\text { Wages Payable } & 2,000 \\\text { Total Current Liabilities } & \$ 5,000 \\\text { Long-term Bond Payable } & \underline{24,000} \\\text { Total Liabilities } & \$ 29,000\end{array}\end{array}$



$\begin{array}{l}\begin{array}{lll}\text { Long-term Assets: }\\\text { Fixed Assets } & \$ 60,000 \\\text { Accumulated Depr. } & \underline{(17,000) } \\\text { Net Fixed Assets } & \underline{43,000} \\\text { Total Assets } & \underline{\$ 67,000}\\\\\end{array}\begin{array}{lll}\text { Stockholders' Equity: }\\\text { Common Stock } & \$ 12,000 \\\text { Retained Earnings } & \underline{26,000} \\\text { Total Stockholders' Equity } & \underline{38,000} \\\text { Total Liabilities \& } & \\\text { Stockholders' Equity } &\underline{ \$ 67,000} \end{array}\end{array}$

• A)7.46%.
• B)35.82%.
• C)43.28%.
• D)100.00%.
• E)231.03%.

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Definitions:

Rational Balancing

The process of making decisions by weighing the benefits and costs of various options in a logical and analytical manner.

Macroanalysis

An examination of large-scale societal structures and processes, typically involving the study of broad social, economic, and political systems.

Social Interaction

The process by which individuals act and react in relation to others, involving communication, mutual influence, and behavioral exchange.

Ethnomethodology

A sociological approach that examines how people use everyday conversations and interactions to construct a shared social order.