1. The balance sheet consists of assets and liabilities and equity. With a focus on liabilities,...

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Finance

1. The balance sheet consists of assets and liabilities andequity. With a focus on liabilities, discuss the connectedness ofthese three components.
2. Discuss the components needed to determine the present valueof a noncurrent liability.
3. Discuss the relationship between the income statement and theshareholders' equity section of the balance sheet.
4. Discuss the purpose of other comprehensive income andaccumulated other comprehensive income.
5. Compare and contrast book value per share and marketcapitalization.
6. Evaluate the expected profitability and growth of a companywith a price-tobook ratio of 1.4.
7. Which would you expect to find more useful financialstatements for evaluating management performance: financialstatements based on fair value or historic cost? Why?

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Answer 1 As per Accounting equation Assets Liabilities EquityThat means to start a Business you have purchase some Assets to produce some Product to sell in the market to earn Income and that Asset is financed by your Capital Equity if there is some shortfall in equity that shortfall need to meet by liability Therefore three items are interrelated to each other According to the size of Assets your Liability and Equity amount will be decided 2 Non Current See Answer

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1. The balance sheet consists of assets and liabilities andequity. With a focus on liabilities, discuss the connectedness ofthese three components.2. Discuss the components needed to determine the present valueof a noncurrent liability.3. Discuss the relationship between the income statement and theshareholders' equity section of the balance sheet.4. Discuss the purpose of other comprehensive income andaccumulated other comprehensive income.5. Compare and contrast book value per share and marketcapitalization.6. Evaluate the expected profitability and growth of a companywith a price-tobook ratio of 1.4.7. Which would you expect to find more useful financialstatements for evaluating management performance: financialstatements based on fair value or historic cost? Why?