Identify the correct answer related to appearance of financial assets in the balance sheet .

Question

Want to see more full solutions like this?

Answer 1

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

General Account

Calculate the cost allocation per machine hour

Accounting

Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Answer 6

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.

Conclusion

Hence, options (a), (c), and (d) are incorrect and option (b) is the correct answer.

Answer 7

Chapter 7, Problem 1STQ

To determine

Identify the correct answer related to appearance of financial assets in the balance sheet.

Answer 8

Expert Solution & Answer

Answer to Problem 1STQ

Option (b)

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

Financial assets: The assets that are easily and directly converted into amounts of cash are called as financial assets. Such assets include cash, marketable securities, and receivables.

Explanation for correct answer: In the balance sheet, financial assets are appeared at their current values. Hence, Option (b) is correct.

Explanation for incorrect answers:

Current value is measured in a different way for each type of financial asset. The current value of cash is simply its face value. Short-term investments appear at current market value and accounts receivables appear at net realizable value in the balance sheet. Hence, Option (a), Option (c) and option (d) are incorrect.