Write 6 paragraphs (one for each sentence). Write about the significance/importance of each sentence.
1 CH4 In U.S GAAP, the balance sheet lists assets from most liquid to least liquid, where, liquid refers to the ease of converting the asset into cash.
2 CH5 Revenue recognition refers to the timing and measurement of revenues.
3 CH6 The relations among the cash flows from each of the three principal business activities (operating, investing, financing activities) differ depending on the characteristics of the firms products and its maturity.
4 CH9 Both working capital and the current ratio provide information about liquidity.
5 CH11 A firm sometimes repurchases its own bonds from investors before maturity.
6 CH12 As an alternative to borrowing and using a particular asset as collateral, a firm might obtain cash by selling an asset to a purchaser.