(21 to 28 are T or F answers on the answer key) 21.Current assets are cash and other assets that will be converted into cash or used up during the normal operating cycle of the business or one year, whichever is shorter. 22. Assets are listed on the balance sheet in order of liquidity and liabilities are listed in order of amount, 23.If Boot Company paid $200,000 cash dividends to its shareholders, retained earnings would be reduced by $200,000. 24. The statement of cash flows separates cash flows into operating, nonoperating, and investing categories. 25. Gross profit on sales is obtained by deducting selling expenses from sales. 26.If stockholders' equity is $300,000 on January 1, 2019, and decreases to $100,000 on December 31, 2019, this could only be due to a net loss of $200,000, 27. The current ratio of a company is its current assets divided by its current liabilities. 28. Trend analysis is a process in which we compare a company's results, or the results of a ratio, over time