3)Which of the following is true of comprehensiveincome?

A.Dividend payments are not included in the determination of comprehensiveincome, even though it results in a decrease in totalstockholders' equity.

B.Comprehensive income includes company changes in totalstockholders' equity from allsources, includingowners' investments.

C.Comprehensive income cannot be combined with a traditional income statement into a combined statement of comprehensive income.

D.All items included in comprehensive income enter into the determination of net income.

13) A company may invest in debt or equity securities of other companies to________.

A.allow the company to use investment income to decrease its annual dividend

B.weaken the relationship between the investing company and one of its vendors

C.further enhance a business relationship with a key vendor

D.invest borrowed money in an effort to decrease thecompany's net income

6) Gain on Disposal of Equity Investments is a temporary equity account and is reported in the Other Income and(Expenses) section of the income statement.

True

False

15)

________ investments are categorized as either current assets orlong-term assets on the balancesheet, depending on the maturity date.

A.Available-for-sale debt

B.Trading debt

C.Held-to-maturity debt

D.Serial bond debt

16)

Interest revenue earned onheld-to-maturity debt investments is reported on the income statement in the________ section.

A.current assets

B. noncontrolling interest

C.other income and expenses

D.operating income