2) On a balance sheet, a company usually lists its assets and liabilities:

Select one:

a. Based on liquidity

b. Randomly

c. Alphabetically

d. Based on the size of account balances (i.e., most expensive items are usually listed first)

3) Dividends paid per common share divided by the market price per share of common shares:

Select one:

a. Price-earnings ratio

b. Dividend yield

c. Earnings per share

d. Book value per common share

4)

	2020 (000s)
Total Shareholders Equity	$40,000
Preferred Equity	$10,000
Common Shares outstanding	600

The book value per common share for 2020 is

Select one:

a. $83

b. $67

c. $50

d. $17

5) What does it mean when they say that expenses could be classified by nature under IFRS?

Select one:

a. Expenses are presented on the statement according to the various functions of the company

b. Expenses are presented on the statement according to their natural classification

c. Under IFRS, expenses cannot be classified by their nature at all

d. Selling expenses and administrative expenses are examples of classifying expenses by nature

6) For an investor, reason(s) to buy shares in a company is/are:

Select one:

a. Monthly salaries

b. Capital gains and dividends

c. Interest income

d. Ability to manage the company

7) It shows the results of the companys operations that are ongoing:

Select one:

a. Income (loss) from continuing operations

b. Income (loss) from discontinued operations

c. None of the choices listed

d. Gain (loss) on disposal of discontinued operations

8) Discontinued operations:

Select one:

a. Are not part of the statement of comprehensive income

b. Are business segments that are no longer part of regular operating activities

c. Are events or transactions that are distinguished by their unusual nature and by the infrequency of their occurrence

d. Appear first, above continuing operations on the income statement

9) A corporations financial statements:

Select one:

a. Are always prepared under the same disclosure requirements as a proprietorships financial statements

b. Are optional and do not have to be prepared every year

c. Are generally less complex than a proprietorships financial statements

d. Serve a much wider audience group than a proprietorships financial statements

10) To which type of account does retained earnings belong?

Select one:

a. Expense

b. Liability

c. Equity

d. Income