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Chapter 3 B

Across
Current assets divided by current liabilities, which measures a company's ability to pay its current liabilities with its current assets.
Time span during which cash is paid for goods and services that are sold to customers who pay the business in cash.
A balance-sheet format that lists assets at the top, followed by liabilities and stockholders' equity below.
A balance sheet that shows current assets separate from long-term assets and current liabilities separate from long-term liabilities.
A balance-sheet format that lists assets on the left and liabilities and stockholders' equity on the right.
A measure of how quickly an item can be converted to cash.
Down
A debt due to be paid within one year or within the entity's operating cycle if the cycle is longer than a year.
A liability that is not a current liability.
A principle that states that all expenses incurred during a period should be identified and measured to match them against revenues earned during that same period.
An asset that is expected to be converted to cash, sold, or consumed during the next 12 months or within the business's normal operating cycle if longer than a year.
An asset that is not a current asset.
The ratio of a company's total liabilities to its total assets, which indicates the proportion of the company's assets financed with debt.