lncome Statement

Question 1

Items in OCI

Answer 1

Unrealized gains and losses on investments in securities available for sale, certain pension cost adjustments, foreign currency translation adjustments, and unrealized gains and losses on certain hedging activities

Question 2

Name the two different formats of presentation for the balance sheet

Answer 2

Account form

Report form

Question 3

Cash Equivalents

Answer 3

Short-term investments that are convertible into a known and fixed amount of cash and have an original maturity to the purchaser of three months or less

Question 4

What items are not shown on the income statement?

Answer 4

Prior-period adjustments
Foreign currency translation adjustments
Unrealized gains and losses on available for sale (AFS) securities
Unrecognized pension items
Cumulative effect of changes in accounting principle
Unrealized gains and losses on cash flow hedges

Question 5

Selling Expenses

Answer 5

Expenses that directly affect sales

Question 6

General and Administrative Expenses

Answer 6

Expenses that are not related to sales