Question 19.

19. (TCO 5) An off balance sheet means that risk (Points : 5)

       has not been recorded.

       has been recorded in the footnotes.

       has been recorded in the balance sheet under all other.

       exists on another financial statement.

Question 20.

20. (TCO 5) A high working capital turnover ratio indicates (Points : 5)

       that a firm is overcapitalized.

       an unprofitable use of working capital.

       that a firm is undercapitalized.

       None of the above

Question 21.

21. (TCO 5) Investments classified as marketable securities should be (Points : 5)

       temporary.

       long-term.

       permanent.

       None of the above