Liam uses checks and a debit card, but does not always write all the transactions in his checkbook register. he has lost track of his checkbook balance. liam looks up the “available balance” using online banking, and writes it on the next line as his new checkbook balance available to spend. what is wrong with liam’s method? a. liam’s method fails to consider whether he has written any outstanding checks. b. the reconciliation worksheet will not work properly using liam’s adjusted checkbook balance. c. liam could have unexpected non-sufficient funds fees due on any checks that have not yet cleared the bank. d. all of the above.

Kandon enterprises, inc., has two operating divisions; one manufactures machinery and the other breeds and sells horses. both divisions are considered separate components as defined by generally accepted accounting principles. the horse division has been unprofitable, and on november 15, 2018, kandon adopted a formal plan to sell the division. the sale was completed on april 30, 2019. at december 31, 2018, the component was considered held for sale. on december 31, 2018, the company’s fiscal year-end, the book value of the assets of the horse division was $415,000. on that date, the fair value of the assets, less costs to sell, was $350,000. the before-tax loss from operations of the division for the year was $290,000. the company’s effective tax rate is 40%. the after-tax income from continuing operations for 2018 was $550,000. required: 1. prepare a partial income statement for 2018 beginning with income from continuing operations. ignore eps disclosures. 2. prepare a partial income statement for 2018 beginning with income from continuing operations. assuming that the estimated net fair value of the horse division’s assets was $700,000, instead of $350,000. ignore eps disclosures.