1. Give two examples of expenses a business might incur.

2. What is the purpose of the statement of owner’s equity?

3. What information is reported in a balance sheet?

4. The statement of cash flows reports on what major activities?

5. Define and explain return on assets.

6. A Define return and risk. Discuss the trade-off between them.

7.B Describe the three major business activities in organizations.

8.B Explain why investing (assets) and financing (liabilities and equity) totals are always equal.


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