“According to the company’s expense recognition note, we capitalize advertising and promotional costs.”True.False.
“The company’s earned operating revenues for the most recent reporting period were $4,968,301,000”True.False.
Which of the company’s expense accounts on the most recent income statement includes prepaid expenses?“Restructuing charges, net”Goodwill impairment chargeAmortization of intangiblesAll of the aboveUnable to determine with information available.
Which of the company’s balance sheet accounts represents future cash inflows from customers for revenue already earned?Accounts receivablePrepaid expenses and other curent assetsDeferred revenue
“The company’s most recent balance sheet states deferred revenue of $134,031,000. This deferred revenue amount is included in the revenue account on the company’s most recent income statement. “True.False.
Which of the company’s balance sheet accounts represents future cash outflows for expenses already incurred?Accounts payableAccounts receivablePrepaid expenses and other current assetsDeferred revenue
Which of the company’s balance sheet accounts represents expenses that will appear on next year’s income statement?Accounts receivablePrepaid expenses and other curent assetsAccounts payable
Does the operating activities of the company’s most recent statement of cash flows include cash inflows from revenues that were accrued at the end of the most recent reporting period?Yes.No.
The amount of cash that the company had collected from customers in advance of providing goods and services that will be earned revenue on next year’s income statement was:“$134,031,000”“$934,658,000”“$602,792,000”“$1,047,504,000”
According to the company’s revenue recognition note, revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service is performed, and collectability of the related fee is reasonably assured.