Which of the Following Statements Is False

question 9

Multiple Choice

Which of the following statements is false?

• A) Cash equivalents are included in cash on the balance sheet and on the statement of cash flows.
• B) Investments in cash equivalents and investments in stock have the same economic effect--assets increase and decrease by the same amount.
• C) An investment is a cash equivalent if it is convertible into a known amount of cash and has an original maturity of 3 months or less when purchased.
• D) Investments in stock are reported as a financing activity on the statement of cash flows.

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Definitions:

"Dole"

A term commonly used in the UK to refer to government-provided unemployment benefits.

Fireside Chats

A series of evening radio addresses given by U.S. President Franklin D. Roosevelt between 1933 and 1944 to directly communicate with the American public.

21st Amendment

The amendment to the United States Constitution that repealed the 18th Amendment, ending the nationwide prohibition on alcohol in 1933.

Wagner Act

A foundational piece of labor legislation in the United States enacted in 1935, officially named the National Labor Relations Act, which guaranteed workers the right to unionize and collectively bargain.