LO 4,5
(Learning Objectives 4, 5:
Commitment | Finance lease | Leverage ratio |
Debt ratio | Income tax payable | Operating lease |
Deferred income taxes payable | Lessee | Times-interest-earned ratio |
1 The _____ measures the proportion of a company s total liabilities to its total assets.
2 ––––– is usually a long-term liability arising from the temporary timing difference for revenues and expense recognition between GAAP accounting rules and the U.S. tax code.
3. A_____ enables a company leasing an asset to own it after a parted of time
4. A high _____indicates ease in paying interest expense.
5. _____ is a currant liability and represents the amount of income taxes a company must pay to the federal government based on tax reporting rules.
6. A(n) _____ covering twelve months or less is only type of lease that is not required to be included on the balance sheet.
7. A company’s average total assets per dollar of average common stockholder’s equity is its _____.
8. A contractual promise to make transactions in the future that create financial obligations for a company is a _____.
9. The tenant in a lease arrangement is also known as the _____.
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Financial Accounting (12th Edition) (What's New in Accounting)
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