1. Which one of the following is a source of cash?
decrease in notes payable
decrease in accounts receivable
decrease in common stock
increase in inventory
decrease in accounts payable
2. Which of the following statement is false?
A balance sheet is the financial statement that shows a financial snapshot, taken at a point in time, of all the assets the company owns and all the claims against those assets.
All else equal, a cecrease in a company's financial leverage will increase its ROE.
A common-size balance sheet presents each item as a percentage of total assets.
A cash flow statement is the financial statement that summarizes changes in the company's cash balance over a period of time.