Exercise 5-2: Answer the questions in the space provided. Use the following abbre- viations to identify reports: IS (income statement); BS (balance sheet); CFS (cash
flow statement)
1. What report(s) show the net income or net loss?
2. What report(s) show the cash balance?
3. What report(s) show total fixed assets?
4. What report(s) show common stock?
5. What reports(s) show cash at the beginning of the period?
6. What report(s) show note payable accounts?
7. What report(s) show total expenses?
8. What report(s) show the gross profit?
9. What report(s) show cost of goods sold?
10. What report(s) show dividends?

Wanda has graduated from community university (cu) and after nine months has failed to find a job. she graduated with a degree in business, and her college was aacsb accredited. (aacsb accreditation is a specialized accreditation for business schools that evidences a quality program.) in her complaint, she alleges that four years of school and tuition should guarantee a job in the field of study and states that she wants her money back. at no time did cu guarantee job placement, either through express or implied statements. wanda does not disagree with this but still thinks that she was wronged and that it is unfair to graduate and not get a job automatically. cu will be successful in extinguishing wanda's lawsuit if its attorney files a

You are chairman of the board of a successful technology firm. there is a nominal federal corporate tax rate of 35 percent, yet the effective tax rate of the typical corporation is about 12.6%. your firm has been clever with use of transfer pricing and keeping money abroad and has barely paid any taxes over the last 5 years; during this same time period, profits were $28 billion. one member of the board feels that it is un-american to use various accounting strategies in order to avoid paying taxes. others feel that these are legal loopholes and corporations have a fiduciary responsibility to minimize taxes. one board member quoted what the ceo of exxon once said: “i’m not a u.s. company and i don’t make decisions based on what’s good for the u.s.” what are the alternatives? what are your recommendations? why do you recommend this course of action?

Sonic corp. manufactures ski and snowboarding equipment. it has estimated that this year there will be substantial growth in its sales during the winter months. it approaches the bank for credit. what is the purpose of such credit known as? a. expansion b. inventory building c. debt management d. emergency maintenance