This addresses the current and long term assets of Love's.
Not what you're looking for?
You are reviewing the balance sheet of Love's Industries, manufacturer of assorted electronic components. You observe the following account classifications.
a. Accounts receivable
b. Property, plant, and equipment
c. Inventories
d. Intangible assets
e. Investment in marketable securities
For each of the classifications listed above, indicate whether it probably involves current assets or long-term assets. For each classification, give two examples of assets that might be reported there. Also indicate what attribute is being reported for each example you give (e.g., original cost, depreciated cost, market value, and so on).
Purchase this Solution
Solution Summary
This solution discusses each part of the Love's Industries balance sheet classifications for current and long term assets. All parts of the questions presented are fully discussed.
Solution Preview
First we'll look at current and long-term assets. Accounts receivable and inventory are always current assets, as well as cash and prepaid expenses. Marketable securities are also current assets because of how quickly it can be turned into cash - cashed in for the money. Property, plant and equipment and intangible assets are long-term assets. These are the most common current ...
Purchase this Solution
Free BrainMass Quizzes
Income Streams
In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.
Accounting: Statement of Cash flows
This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.
Marketing Research and Forecasting
The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.
Six Sigma for Process Improvement
A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.