Cookie Monster sells cookies through his company called Cookie Monster, Inc. For each cookie that Cookie Monster, Inc sells the company collects $.07 (7 cents). Are the sales tax collected considered part of the revenue of Cookie Monster, Inc.?

a. Yes. b. No.

Cookie Monster, Inc is a company that is in need of cash for end-of-year planning and is considering using a Line of Credit (LOC). Which of the following statements is true about a LOC?

1. The LOC will be open for a long period of time.

2. The LOC is guaranteed indefinitely by the bank.

3. The LOC requires no application or documentation by Cookie Monster, Inc.

4. The LOC is for a short period of time, usually 1 year.