Which of the Following Questions CANNOT Be Answered from a Balance

question 2

Multiple Choice

Which of the following questions CANNOT be answered from a balance sheet?

• A) What has caused the changes in cash held during the period?
• B) Is the company soundly financed?
• C) Can the company pay its bills on time?
• D) Should a dividend be declared?

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Definitions:

Habituated Response

An action or reaction that becomes less pronounced over time as a result of repeated exposure to a specific stimulus.

Stimulation

The act of encouraging development or activity in biological, psychological, or physical systems.

Shape Constancy

Recognition that an object remains the same even though its orientation to the viewer changes.

Orientation

A process of determining one's position, or the adaptation to one's environment regarding time, space, and context.