1) Working capital includes both current and non-current assets. Do you agree or disagree with this statement? Explain.
2) Why does the equity section of a balance sheet usually contain an account, "capital in excess of par?"
3) Explain why common stockholders are paid after preferred stockholders.
4) Compare the information supplied by an income statement, a balance sheet, and a statement of cash flows.
5) Are retained earnings and cash the same thing? Explain.
6) What assets are current assets? Which of these assets are least liquid? Why?