order to secure a loan from UIC bank. 2. The UIC bank will be concerned with their assets and liabilities which are mentioned in the balance sheet in order to calculate ROI‚ROA and the calculate debt to equity to ratio . 3. Calculating the ratio bank will be able to determine the interest rate on the loan. 4. A positive amount reported on the balance sheet determines the goodwill of the company which allows the bank to process loan on good faith terms. 2. SHOULD THE INTELLECTUAL ABILITIES BE
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basic) 141‚000 are expected to remain unchanged next month. Property tax on building 194‚000 Calculate unit cost and total cost if 21‚000 units Total Fixed Costs 1‚542‚000 are produced next month. Total Cost for 21‚000 units 6‚335‚600 2/ The Dollar Store’s cost structure is dominated by variable costs with a contribution margin ratio of 0.45 and fixed costs of $119‚700. Every cost structure of a competitor‚ One-Mart‚ is dominated by fixed costs . with a higher contribution
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Transaction Cash Net Income a) Purchased $100 of supplies for cash. -100 0 b) Recorded an adjusting entry to record use $20 of the above supplies. 0 -20 c) Made sales of $1‚300‚ all on account. 0 1‚300 d) Received $800 from customers in payment of their accounts. 800 0 e) Purchased equipment for cash‚ $2‚500. -2‚500 0 f) Recorded depreciation of building for period used‚ $600. 0 -600 a)
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CHAPTER 2 Conceptual Framework for Financial Reporting ASSIGNMENT CLASSIFICATION TABLE (BY TOPIC) Topics 1. 2. 3. 4. 5. 6. Conceptual framework– general. Objectives of financial reporting. Qualitative characteristics of accounting. Elements of financial statements. Basic assumptions. Basic principles: a. Measurement. b. Revenue recognition. c. Expense recognition. d. Full disclosure. Accounting principles– comprehensive. Constraints. Assumptions‚ principles‚ and constraints. 28‚ 29‚ 30 10 11 Questions
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CHAPTER 2 CONCEPTUAL FRAMEWORK UNDERLYING FINANCIAL ACCOUNTING IFRS questions are available at the end of this chapter. TRUe-FALSe—Conceptual Answer No. Description F 1. Nature of conceptual framework. T 2. Conceptual framework definition. F 3. Levels of conceptual framework. T 4 International conceptual framework. F 5. Statements of Financial Accounting Concepts. T 6. Decision usefulness.Objective of financial reporting. F 7. Financial statement users. T 8. Relevance and
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Running head: ACCOUNTING PRINCIPLES Generally Accepted Accounting Principles P G HCS 571 June 5‚ 2013 Generally Accepted Accounting Principles Generally accepted accounting principles (GAAP)‚ are standards and guidelines for financial accounting‚ and reporting‚ (Office of Financial Management‚ 2012). There are guidelines in effect for most organizations; GAAP ensures that the finances of an organization are correct. According to Cleverly‚ Song‚ and Cleverly (2011)‚ GAAP describes the “body
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Accounting Principles The general rules and concepts that govern the Accounting filed are referred to as the Principles of Accounting. The Financial Accounting Standards Board (FASB) using the groundwork of principles and guidelines has formulated these rules. They lay the foundation for sound and ethical accounting practices. The GAAP (Generally accepted accounting principles or "GAAP") consists of three important sets of rules: • The underlying accounting principles • The rules and standards
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PRINCIPLES OF ACCOUNTING(POA)/ACCOUNTING FOR MANAGERS(AFM) Basic Accounting Concepts & Terminologies ACCOUNTING- DEFINITION Accounting means the various technical activities performed by accountants‚ including financial accounting‚ bookkeeping and management accounting. Accounting is considered to be as old as money. However in 1494 Lucas Fra Pacoili‚ an Italian Merchant is universally regarded as the father of modern system of accounting or double entry system of accounting. Accounting has
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ACC 551 Midterm Exam Solution Follow the link below http://www.tutorialsguider.com/downloads/acc-551-midterm-exam-solution/ ACC 551 Midterm Exam Solution 1. Question :(TCO C) Under current accounting practice‚ intangible assets are classified as 2. Question :(TCO C) Which of the following intangible assets should not be amortized? 3. Question :(TCO C) The intangible asset goodwill may be 4. Question :(TCO C) ELO Corporation purchased a patent for $90‚000 on September 1‚ 2008. It had a useful
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112: PRINCIPLES OF ACCOUNTING 1 ACCOUNTING THEORY NOTES (a) International Accounting Standards and International Financial Reporting Standards. The foreword to accounting standards defines Accounting Standards as Authoritative statements of how particular types of transaction and other events should be reflected in financial statements. Accounting Standards are developed to achieve comparability of financial information between and among different organizations. International Accounting Standards
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