346) Which of the following is not a solvency ratio? A) The current ratio. C) The debt to equity ratio. B) Time interest earned ratio. D) All of these. 347) For a journal entry with only two lines, the following entry is valid: Decrease in Owners' Equity, Increase in Expense A) False B) True 348) ABC's correct ending balance for the inventory account at the end of 2018 should be $5,000, but the company incorrectly stated it as $3,000. In 2019, ABC correctly recorded its ending balance of the inventory account. Which one of the following is true? A) Gross profit is overstated by $2,000 in 2018. B) Gross profit is overstated by $2,000 in 2019. C) Cost of goods sold is understated by $2,000 in 2018. D) Retained earnings are understated by $2,000 in 2019. 349) After evaluating the lower of cost and net realizable value of inventory, the accountant prepares a year-end adjustment. That adjustment would: A) Increase the company's total assets. B) Decrease the company's cost of goods sold. ) Increase the company's inventory Reduce the company's stockholders' equity. s ending hula crof 350) Warren Buffet is most interested in which one of the following ratios A) Working Capital C) Earnings per share BReturn on Assets D) Return on Equity 351) When a firm gets less risky what will happen to its bonds A) the market interest rate of the bonds will go down and the price of the bonds will go down B) there is no definite answer C) the market interest rate of the bonds will go up and the price of the bonds will go down D) the market interest rate of the bonds will go up and the price of the bonds will go up i E) the market interest rate of the bonds will go down and the price of the bonds will go up osintant prepes a 352) Window dressing are A) Closing entries to prepare financial statements B) Adjusting entries to fix accounting errors C) Illegal entries by management at year end to improve financial ratios D) Legal transactions by management at year end to improve financial ratiosa re ta ds wiil go dow 1