Week 14 Homework
E24-2
1. Adjust the financial statements
2. Neither adjust nor disclose
3. Disclose in notes to the financial statements
4. Disclose in notes to the financial statements
5. Neither adjust nor disclose
6. Neither adjust nor disclose
7. Neither adjust nor disclose
8. Disclose in notes to the financial statements
9. Adjust the financial statements
10. Neither adjust nor disclose
11. Adjust the financial statements
12. Disclose in notes to the financial statements
E24-5
a.The difference between the acid-test ratio and the current ratio is the inventory. That means that any difference between the two would be because of the inven-tory.
b.The financial leverage has decreased. If we look at the long-term debt to assets ratio and the debt to assets ratio, we can see that both have decreased which would mean that
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