1. Which of the following items is included in property, plant, and equipment?

Select one:

a.

Buildings and machinery which are idle.

b.

Land held for speculation.

c.

Land held for future plant expansion.

d.

All of the above.

e.

None of these.

2. Dividends received are recorded in the income statement for:

Select one:

a.

Equity method investments.

b.

Available for sale investments.

c.

Trading securities.

d.

Only two of the above choices.

e.

None of these.

3. Ace Hardware Store acts as agent for Plumbing Company of America. Accordingly, Ace holds merchandise on consignment from Plumbing Company of America in its retail store. Plumbing Company of America

Select one:

a.

is known as the consignor.

b.

should not include the consigned inventory on its balance sheet.

c.

should record a profit when the inventory is consigned to Ace.

d.

All of the above.

e.

None of these.

4. Non-trade receivables:

Select one:

a.

include advances to employees.

b.

arise from the sale of a company's products or services.

c.

generally comprise the majority of the total receivables balance.

d.

do not include utility company deposits.

e.

None of these.