Question
State the effect of the following transactions on the debt to asset ratio . Use increase , decrease , or no effect for your answer.
State the effect of the following transactions on the debt to asset ratio . Use increase, decrease, or no effect for your answer.
Payment of $40,000 rent with land.
| Increase | ||
| Decrease | ||
| No Effect
|
State the effect of the following transactions on the current ratio. Use increase, decrease, or no effect for your answer.
Payment of $40,000 on short-term notes payable with land.
| Increase | ||
| Decrease | ||
| No effect |
Retained earnings is increased by each of the following except
| net income | ||
| prior period adjustments. | ||
| some disposals of treasury shares | ||
| All of these answer choices are correct
|
State the effect of the following transactions on the current ratio. Use increase, decrease, or no effect for your answer.
Inventory purchases on account. Payment is not due until after 5 years
| Increase | ||
| Decrease | ||
| No Effect |
State the effect of the following transactions on the current ratio. Use increase, decrease, or no effect for your answer.
Declared 10% cash dividend
| Increase | ||
| Decrease | ||
| No effect |
State the effect of the following transactions on the debt to asset ratio. Use increase, decrease, or no effect for your answer.
Additional shares are sold for land
| Increase | ||
| Decrease | ||
| No Effect |
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Managerial Accounting
Authors: Ray Garrison, Eric Noreen, Peter Brewer
16th edition
978-1259307416
