QUESTION 6 Which of the following is NOT a limitation of the balance sheet discussed in class? O Many assets are measured at their historical costs rather than their current market values Some balance sheet items involve estimates or judgments rather than determinate amounts. The balance sheet does not allow one to evaluate current conditions relative to past conditions. Some assets that cannot be reliably measured are omitted, even if they represent valuable resources to the compa QUESTION 7 If a company fails to record an adjusting entry for accrued interest expense in a given year, then O stockholders' equity is overstated and liabilities are understated O stockholders' equity and assets are both overstated Ostockholders' equity is understated and liabilities are overstated stockholders' equity and assets are both understated