Intermediate Management Accounting

Q1. Which of the following statements are True or False( a) The term decentralized organization refers to an organization that delegates decision-making and operational responsibilities to managers of each segment of the organization. b) Segments of an organization are often referred to as divisions c) Factory equipment sold for cash would appear in the financing activities section of the statement of cash flows. d) When using the indirect method for the statement of cash flows, depreciation expense is added to net income to obtain cash provided by operating activities. e) The current ratio is the same as the quick ratio. Q2. What is decentralization ? What is the difference between Decentralization and Centralization? Q3. Using the following information, Calculate current ratio Accounts payable- $10,000 Accounts Receivable- $15,000 Buildings- $42,000 Cash- $4000 Current Notes payable- $7000 Office supplies $3800 Long term notes payable- $20000 Prepaid insurance- $2500 Unearned revenue- $1000 Wages payable- $3000