4) A current asset is A) an expense incurred in the business. B) an asset that is currently being used to produce a product or service C) usually found as a separate classification in the statement of income D) expected to be realized in cash, sold, or consumed within one year of the statement of financial position. 5) During one pay period, your company distributes $130,500 to employees as net pay. The income tax withholdings were $19,000 and the Canada Pension Plan withholdings were $5,000. The total wages/salary expense to the company, which includes CPP matching, during this period was A) $150,500. B) $149,500. C) $154,500. D) $159,500. 6) Crane Cororation buys 1400 shares of Pina Colada Ltd.'s common shares as a trading investment. The shares are purchased for $44 a share. At year end the shores are trading at $48, The adjusting entry at year end is A) Cash 5600 5600 Investment Income: B) Trading Investments 5600 Unrealized Gain on Trading Investments 5600 C) Trading Investments 5600 Realized Gain on Trading Investments 5600 D) Investment in Associates 5600 Revenue in Investment in Associates 5600 7) On July 21, an auto repair shop fixed a customer's vehicle. On July 22, the mechanic b customer $700 for the work. The customer paid the invoice on August 7. The cost of the $200 for parts and $150 for employee wages. The repair shop paid for wages on Augus parts on August 10. The business has a July 31 fiscal year end. How much profit or loss w reported in the statement of income for the repair under the cash-basis and accrual-b accounting? A) cash basis, $0 profit; accrual basis, $350 profit B) cash basis, $700 profit; accrual basis, $0 profit C) cash basis, $350 profit; accrual basis, $350 profit D) cash basis, $350 profit; accrual basis, $700 profit E) cash basis, $0 profit; accrual basis, $0 profit