Which of the following statements is CORRECT? a. The balance sheet gives us a picture of the firm's financlal position at a point in time, - Queserion 3 of is, Check My Work equity. d. The income statement gives us a piture of the fush the firm will require during some future periad, emeraly a mionts ar ayear. e. The statement of cash flows tells us how nuth cosh ite fin must puy at a point in time e. The statement of cish tows tells us how much cash the firm must pay out in interest during the year. Which of the following statements is CORRECT? a. The focal point of the income statement is the cash account becouse that account cannot be manipuiated by "accoursing tricks: thewered reported income of two otherwise identical firms must be identical if the firms are publicly owned, provided they foniow procedues that are permited by the Securities and Exchange Commission (SEC). d. The reported income of two ot accounting principles (GMap). e. The income statement for a given year is designed to give us an idea of how much the firm earned during thut year: Kwok Enterprises has the followin.... pme statement. How much after-tax operating income does the firm have? b. 5643 c. 5630 d. 5743 0.5605 Which of the following actions would be most likely to reduce potential conflicts between stocibholders and bondholdeas? a. Including restrictive covenants in the company s bond indenture twhich is the contract between the company and its bondholders? b. The passage of laws that make it harder for hostlie takeovers to succeed c. A government regulation that banned the use of convertble bonds. d. The firm begins to use only lons-term debt eg. debt that mutures in 30 years or mort, father than debe that matures in less than one year. e. Compensating managers with more stock options and less cash income. Which of the following statements is CORRECT? a. Pritor to the Enron scandal in the early 2000 s, comparies would put verbal information in their annual reports alceng with the financal seatements. that werbai information was often misleading so today annual reports can contain only quantsative information-audited financia statemens. b. Assets other than cash are expected to produce cash over time, and the amounts of canh they eventually produce should be exactiy the same as the amounts at which the assets are carried on the books: c. The annual report is an internal document prepared by a firm's managers solitly for the use of its credicors/ender. d. The primary reason the annual report is important in finance is that it is used by imeston when thry form expectations about the fims future nartings and dividends and the riskiness of those cash flows. equity