Question 41 (1 point)

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Sandstrom Corporation has loss from discontinued operations of $200,000 and a tax rate of 40%. At what amount should Sandstrom report the discontinued operation?

Question 41 options:

	$0
	$120,000
	$(120,000)
	$(200,000)

Question 42 (1 point)

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Which of the following is not a current asset?

Question 42 options:

	Prepaid insurance, 1 year policy
	Land held for future expansion
	Income tax refund receivable
	All are current assets

Question 43 (1 point)

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The balance sheet is useful for analyzing all of the following except

Question 43 options:

	financial flexibility
	liquidity
	profitability
	solvency

Question 44 (1 point)

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A limitation of the balance sheet that is not also a limitation of the income statement is

Question 44 options:

	the use of judgments and estimates
	the numbers are affected by the accounting methods employed
	valuation of items at historical cost

Question 45 (1 point)

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The correct order to present current assets is

Question 45 options:

	cash, inventories, accounts receivable, prepaid items
	cash, inventories, prepaid items, accounts receivable
	cash, accounts receivable, inventories, prepaid items
	cash, accounts receivable, prepaid items, inventories

Question 46 (1 point)

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Receivables are valued based on their

Question 46 options:

	historical cost
	lower-of-cost-or-market value
	fair value
	estimated amount expected to be collected

Question 47 (1 point)

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A generally accepted method of valuation for trading securities is at

Question 47 options:

	fair value
	net realizable value
	historical cost
	amortized cost

Question 48 (1 point)

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Treasury stock should be reported as a(n)

Question 48 options:

	reduction of stockholders' equity
	current asset
	investment
	other asset

Question 49 (1 point)

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Which of the following is not an acceptable major asset classification?

Question 49 options:

	Current assets
	Deferred charges
	Long-term investments
	Property, plant, and equipment

Question 50 (1 point)

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Accounting policies disclosed in the notes to the financial statements typically include all of the following except

Question 50 options:

	the cost flow (LIFO/FIFO) assumption used
	significant inventory purchasing policies
	significant estimates made
	the depreciation methods used