1. Resources controlled by a company as a result of past events are: a. equity. b. assets. c. liabilities. 2. Distinguishing between current and non-current items on the balance sheet and present- ing a subtotal for current assets and liabilities is referred to as: and classified balance sheet b. an unclassified balance sheet. a liquidity-based balance sheet. 3. The information provided by a balance sheet item is limited because of uncertainty regarding a. measurement of its cost or value with reliability. B. the change in current value following the end of the reporting period. & the probability that any future economic benefit will flow to or from the entity. C. 6. The most likely company to use a liquidity-based balance sheet presentation is a: A. a. bank. B. computer manufacturer holding inventories. C. software company with trade receivables and payables. 7. The most likely costs included in both the cost of inventory and property, plant, and equipment are: a. selling costs B. storage costs. C. delivery costs. 8. Debt due within one year is considered: a. current. B. preferred. C. convertible