17.A flexible budget: Question 17 options: can be prepared for sales or production budgets, but not for an operating expense budget. is also called a static budget. can be considered a series of related static budgets. typically uses an activity index different from that used in developing the predetermined overhead rate.

18.Leah Company's equipment account increased $400,000 during the period; the related accumulated depreciation increased $30,000. New equipment was purchased at a cost of $700,000 and used equipment was sold at a loss of $20,000. Depreciation expense was $100,000. Proceeds from the sale of the used equipment were: Question 18 options: $210,000. $280,000. $250,000. $320,000.

19.Which of the following would not be included in the operating activities section of a statement of cash flows? Question 19 options: Cash inflows from returns on equity securities (i.e., dividends). Cash inflows from returns on loans (i.e., interest). Cash outflows to governments for taxes. Cash outflows to reacquire treasury stock.

20.The concept of significant influence must be satisfied before which accounting method can be used by an investor? Question 20 options: All of these answers are correct. Equity. Cost. Consolidated financial statements.

21.Which of the following pairs of terms in the area of financial statement analysis are synonymous? Question 21 options: Horizontal Ratio Horizontal Trend Ratio Trend Vertical Ratio