5.The accrual method of accounting is easier to use than the cash method.

True

False

31. A statement of cash flows:

a.	is used to estimate net farm income

b.	is used to asses the solvency of the business

c.	provides a summary of actual cash inflows and outflows over a period of time

d.	is used to track depreciation

32. A limited liability company combines the legal aspects of:

a. a sole proprietorship and a partnership

b.	a partnership and a corporation

c.	a corporation and a cooperative

d. a sole proprietorship and a corporation

41. In the short run:

a.	total variable costs are zero when there is no production

b.	total fixed costs are zero when there is no production

c.	total costs are zero when there is no production

d.	neither total fixed costs nor total variable costs are zero when there is no production