requires knowledge of the inventory cost flow assumption being used. 5. If a firm’s payment terms for sales made on account to its customers were 2/10‚ n30‚ the number of days’ sales in accounts receivable would be expected to be: a. less than 10. b. between 10 and 25. c. between 25 and 40. d. over 40. 6. When a firm has financial leverage: a. ROI will be greater than ROE. b. ROI will usually be
Premium Investment Finance Financial ratio
$22.00 $23.00 200 1000 700 $21.50 $22.25 $23.50 Sales 2820 3080 2950 $34.00 $35.75 $35.75 4 Discussion Question Calculate the cost of goods sold and year-end inventory amounts for 2005‚ 2006‚ and 2007 using..‚ • FIFO • LIFO • Average cost method 5 Cartons 2005 Cost of goods sold Inventory 2006 Cost of goods sold Inventory 2007 Cost of goods sold Inventory 1840 600 380 2820 420 400 200 1020 FIFO Price $20.00 $20.25 $21.00 $36‚800.00 $12‚150
Premium Inventory
started to adopt environmental accounting. What is environmental accounting? Should it be made mandatory? Does environmental accounting help the environment in any way? Give specific examples of how environmental accounting has benefited the environment. ------------------------------------------------- Introduction : The developing countries like India are facing the twin problem of protecting the environment and promoting economic development. A trade-off between environmental protection and
Free Environmentalism Pollution Sustainability
Accounting Principles: A Business Perspective‚ Financial Accounting (Chapters 1 – 8) A Textbook Equity Open College Textbook originally by Hermanson‚ Edwards‚ and Maher Fearless copy‚ print‚ remix(tm) www.textbookequity.com www.opencollegetextbooks.org ISBN-13: 978-1461088189 ISBN-10: 1461088186 License: CC-BY-NC-SA p. 1 of 433 About This Publication Simply put‚ you may copy‚ print‚ redistribute‚ and re-purpose this textbook or parts of this textbook provided that you give attribution
Premium Certified Public Accountant Accountant Accountancy
ISSUES IN ACCOUNTING EDUCATION Vol. 26‚ No. 4 2011 pp. 797–806 American Accounting Association DOI: 10.2308/iace-50053 Home Heaters: A Holistic View of the Financial Statements M. Cathy Claiborne and Kirkland A. Wilcox ABSTRACT: In this case‚ two start-up companies in the same industry have identical economic transactions. Although both companies follow generally accepted accounting principles (GAAP)‚ each manager makes different choices and estimates when applying GAAP. By preparing
Premium Balance sheet Depreciation Accounts receivable
1 ACCOUNTING 1 (ACN101- M) STUDY UNIT 1: THE NATURE AND FUNCTION OF ACCOUNTING DEFINITION: • • • Accounting can be defined as the orderly & systematic recording of the monetary values of financial transactions of a business The reporting of results Providing financial information as a basis for decision making 3 main processes define the accounting process: 1. IDENTIFYING: Selecting evidence of economic / financial activity (transactions) 2. RECORDING transactions to provide a permanent
Premium Balance sheet Generally Accepted Accounting Principles Inventory
There are many links between accounting and sustainability including but not limited to the issues around reporting‚ relevance‚ risk management and compliance‚ measurement‚ auditing and stakeholder theory of sustainable issues. To first understand these links to accounting we need to know what sustainability means in this accounting context. Sustainability in accounting deals with the social and environmental side of accounting. Originally accounting only dealt with the economic side and making a
Premium Sustainability Natural environment
the main benefits and challenges of implementing a lean accounting system in a lean manufacturing environment? Do you anticipate interest in lean accounting will grow‚ the methods will change‚ or the concepts will fade out and be replaced with another ‘flavor of the month’? How do you perceive lean principles affecting your career? Justify your answers. I. Lean Accounting Lean accounting often refers to more simplified accounting practices that focuses on eliminating waste‚ reducing
Premium Lean manufacturing
The following essay explains the importance of cost accounting for stakeholders of Multinational Companies‚ particularly the shareholders & the customers. Who are the stakeholders of an organization? according to (Freeman 1984) stakeholder is “any group or individual who can affect or is affected by the achievement of the firm’s objectives” going by this definition stakeholders of a company would include lenders‚ creditors‚ customers‚ shareholders‚ government‚ media‚ political groups‚ local charities
Premium Costs Cost accounting Management accounting
Environmental Accounting The business activities of companies and other organizations in the modern socio-economic system have expanded in scale‚ diversified‚ and become globalized to a degree not experienced previously. A great number of companies have been established corresponding to each purpose‚ and group management is practiced. In a group management system‚ the independent decision-making ability of group companies is limited. At the same time‚ the primary objective becomes management of the
Premium Cost Costs Cost accounting