Using the liquidation basis of accounting, a companys operating statement reports

Select one:

a. changes in the liquidation value of the companys assets and liabilities.

b. cash receipts and disbursements.

c. revenues earned and expenses incurred, following normal GAAP.

d. gains and losses on assets sold and liabilities paid.

Using the liquidation basis of accounting, employee compensation expected to be paid during the liquidation period is

Select one:

a. accrued at the expected amount owed.

b. reported at discounted expected value.

c. not reported until paid.

d. reported as both an asset and liability, at the full amount owed.