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Assignment help 1502


Compensating balances:

A.Earn high rates of interest for the firm

B.Require a commitment fee

C.Are used to finance inventories

D.Increase the effective interest earned by banks on credit lines

E.Are ordered monthly (or quarterly) following forecasts based on cash budget analysis to compensate for shortfalls


Deferred revenues are:

A.reported on the balance sheet as a liability

B.reported on the balance sheet as an asset

C.not reported

D.reported on the statement of operations as revenue

E.reported on the statement of operations as a deduction from revenue


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