4-1 4 Income Statement Usefulness Predicting future performance. 4-2 Evaluate past performance. Help assess the risk or uncertainty of achieving future cash flows. Income Statement Limitations Companies omit items that cannot be measured reliably. 4-3 Income is affected by the accounting methods employed. Income measurement involves judgment. Income Statement Quality of Earnings Companies have incentives to manage income to meet or
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The Income Statement This indicates financial performance over a period of time. It is usually done at the end of a financial year (30th June)‚ but an income statement can be made up at other times‚ e.g.‚ if a business wishes to apply for a loan‚ the bank may ask for a more recent income statement. The other names for this kind of statement are Revenue Statement and Profit and Loss Statement. Income Statement for Ima Mess‚ year ended 30.6.12 |
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you get your paycheck at the end of the first pay period at a new job‚ it’s always interesting to see your net pay. Most of us expect more than we get. By the time you get your check‚ it has been cut up like a piece of pie‚ with several entities taking a piece of the pie. The entities that take money differ from person to person‚ company to company and state to state. However‚ almost every income earner has to pay federal income tax. An income tax is a tax levied on the financial income of persons
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Income inequality: Causes and Trends The distribution of wealth is extremely unequal in America and the whole world. This paper documents the growing inequality‚ and examines three reasons for its increase. The income growth for top earners is faster than income growth for the poor. This accelerated income growth for top earners would increase the income gap between top earners and the poor. In addition‚ income inequality between the poor and top earners in the US is becoming greater than in other
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1. Near year end‚ P‚ a cash basis‚ calendar year taxpayer‚ paid for various deductible expenses as described below. 1. The payment was dropped in the mail before year end. 2. P gave a note evidencing her promise to pay the amount in three months. 3. The amount was charged on her Master Card on December 28. The charge appeared on her bill for the period December 1 through December 31‚ which she received in January and which she paid on January 20. The bank actually paid the expense in January
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Introduction The income smoothing literature has been the centre of attention in the accounting world for the past few decades. When companies experience economic turbulence due to a poor performance year‚ they turn to the accounting management department to resolve the bottom line. A strategy that managers can approach is changing the true information content of the company. As a result this has led managers to resort to smoothing their income. Many questions have been raised whether or not it
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"What personal factors can affect your success in school?" Assessment Detailed Results Time Great news – you’ve got ample time to devote to your school studies. You can take full advantage of all our resources‚ as well as discover your own‚ from local/online workshops‚ your local library‚ and more. Many students like you find it helpful to develop a project management system that will help you make the most out of work‚ school‚ and life. We’re here to help you succeed - please contact us or ask
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national income …………………………………………………3 1.2. Overview of issues of National income in the world………………………………………3 SECTION 2……………………………………………………………………………………5 2.1. Definition of national income ………………………..........................................................5 2.2. Factors that determine national income…………………………………………………...6 2.3. Methods to measure national income………………………………………………………6 2.4. Treatment of national income from abroad………………………………………………...8 2.5. Uses of national income statistics
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What factors affect people’s choice of career? The factors that influence one’s career choice have always been a controversial issue. There are numerous choices that are suggested but most common are education‚ individual factors‚ salary‚ location‚ personality‚ environment‚ legacy and more. First and foremost‚ what I put in my priority is personality‚ salary and education. It can’t be denied that one’s character is one of the biggest concerns when choosing a job. People are likely to pick a job
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History Income tax levels in India were very high during 1950-1980‚ in 1970-71 there were 11 tax slabs with highest tax rate being 93.5% including surcharges. In 1973-74 highest rate was 97.5%. But to reduce tax evasion tax rates were reduced later on‚ by "1992-93" maximum tax rates were reduced to 40%. [2][3] [edit]Residential status‚ Scope of taxable income & Charge [edit]Charge to Income-tax Whose income exceeds the maximum amount‚ which is not chargeable to the income tax‚ is an assesse
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