The return on sales =34 percent. This return is outstanding and there is no need to compare this return to competitors in the medical supply industry. True or False The year-end cash balance for this firm is: Multiple Choice $7,000.00 $53,000.00 $23,000.00 $30,000.00 A lower than average inventory turnover ratio indicates excellent inventory management practices. True or False The three important financial statements prepared by accountants are Multiple Choice ledger, journal, and trial balance. cash budget, capital budget, and master budget. revenue summary, expense summary, and consolidation statement. balance sheet, income statement, and statement of cash flows. A key step in the accounting cycle is to Multiple Choice record information into journals. collect data from customers. forecast expenses and revenues. prepare the advertising message. Lazy Day Laundry Company recently issued a corporate bond on which it expects to pay interest for the next twenty years. The company would record this as a sheet. Multiple Choice long-term asset retained earning long-term liability long-term expense If prices of inventory are unchanged throughout the year, LIFO and FIFO inventory valuation methods will produce the same reported net income True or False t the time Rico's Restaurant Supply prepared its financial statements, it had several customers who bought goods over the past three months on its "90 days same as cash" credit plan. hese customers had not yet paid their bills, but they have good credit ratings and Rico's is confident that they will make their payments on time. The amount these credit customers owe rould show up as part of the Multiple Choice current assets listed on Rico's balance sheet. current liabilities listed on Rico's balance sheet. a deferred cash flow on Rico's statement of cash flows. unrealized revenue reported on Rico's income statement. ccounting transactions are important to a firm's operations. What activities would affect the firm's account balances? Multiple Choice buying and selling goods and services interviewing prospective employees understanding economic reports forecasting consumer demand The is an accounting statement that reports the financial condition of a firm at a specific point in time. Multiple Choice income statement balance sheet statement of cash flows trial balance