1. How does a landlord record the collection of a tenants security deposit?

   	a.	as a liability
   	b.	as a contra liability
   	c.	as a prepaid expense
   	d.	as a contingent liability

What is characteristic of equity and debt financing?

	a.	Interest and dividend payments must be made by the issuing company
	b.	Most companies prefer to have no debt and to rely exclusively on equity financing.
	c.	If the debt-to-equity ratio is higher, it is more likely that the company will have difficulty in meeting its obligation in some future period.
	d.	If the debt-to-equity ratio is lower, it is more likely that the company will have difficulty in meeting its obligation in some future period.