41.The cumulative effects of other comprehensive income items may be reported separately from retained earningsand paid-in capital, on the balance sheet, as accumulated other comprehensive income.
a.True
b.False
42.Comprehensive income does
notaffect net income or retained earnings.
a.True
b.False
43.The cumulative effects of other comprehensive income items are included in retained earnings on the balancesheet.
a.True
b.False
44.Foreign currency translation adjustment is an example of an item that would be included in other comprehensiveincome.
a.True
b.False
45.Temporary investments
a.are reported as current assets
b.include cash equivalents
c.do not include equity securities
d.all are correct
46.Which of the following is
nota reason to invest excess cash in temporary investments?
a.earn interest revenue
b.influence the operations of another company
c.receive dividends
d.realize gains from the increase in market value of the securities
47.Investment in certificates of deposit and other securities that do not change in value are reported on the balancesheet as
a.equity investments
b.available-for-sale securities
c.cash and cash equivalents
d.held-to-maturity securities
48.The primary objectives of investing in temporary investments is to
a.all of these
b.realize gains from increases in market price of the securities
c.receive dividends
d.earn interest revenue
49.A company uses cash to pay all of the following
except
a.all of the options are uses of cash
b.interest to creditors
c.current expenses
d.dividends to stockholders
50.Cash is used for all of the following activities
except
a.supporting current operating activities
b.replacing worn-out machinery
c.expanding current operations
d.bribing government officials