18. Which of the following statements is TRUE?

a.

Companies include postdated checks and petty cash funds as cash.

b.

Savings accounts are usually classified as cash on the statement of financial position.

c.

Cash equivalents are investments with original maturities of six months or less.

d.

Certificates of deposit are usually classified as cash on the statement of financial position.

Clear my choice

19.

___________________, is a popular argument against using historical cost in accounting.

a.

Historical costs are reliable

b.

Fair values are more relevant

c.

Fair values are subjective

d.

Historical costs are based on an exchange transaction