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A Classified Balance Sheet Differs from an Unclassified Balance Sheet

Question 1

Multiple Choice

A classified balance sheet differs from an unclassified balance sheet in that


A) An unclassified balance sheet is never used by large companies.
B) A classified balance sheet groups items into the broad categories of asset,liability,and equity.
C) A classified balance sheet presents information in a manner that makes it easier to calculate a company's current ratio.
D) A classified balance sheet will include more accounts than an unclassified balance sheet for the same company on the same date.
E) A classified balance sheet is not usually provided to outside parties.

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