e-controls or cash control for cash receipts and cash payments. What is internal control? It is the organisational plan and all the related measures that an entity adopts to: * safeguard assets * encourage adherence to company policies * promote operational efficiency * ensure accurate and reliable accounting records. It is either an administrative control or an accounting control Characteristics of an effective internal control system include: * Competent‚ reliable‚ and ethical
Premium Depreciation Balance sheet Expense
CHAPTER 2 21. Generally accepted accounting principles a. are fundamental truths or axioms that can be derived from laws of nature. b. derive their authority from legal court proceedings. c. derive their credibility and authority from general recognition and acceptance by the accounting profession. d. have been specified in detail in the FASB conceptual framework. 22. A soundly developed conceptual framework of concepts and objectives should a. increase financial statement users’
Premium Income statement Decision making Balance sheet
of the times‚ people find it difficult to understand the various accounting Concepts. In this coursework‚ I shall analyze these concepts and explain them. First of all I shall discuss the materiality concept. WHAT IS MATERIALITY? Authoritative accounting bodies in the USA such as Financial Accounting Standard Board (FASB)‚ Securities and Exchange Commission (SEC)‚ General Accounting Office (GAO)‚ American Institute of Certified Public Accountants
Premium International Financial Reporting Standards Balance sheet International Accounting Standards Board
financial information about the company. a. California Public Employees Retirement System. One of the world’s largest pension funds. They would be interested in Boeing’s financials to see how much the company contributes to their employee’s 401K plans. b. Chinese Airlines‚ a rapidly growing airline serving the Pacific Rim. Seeing the amount of sales that Boeing has‚ shows the reliability in their product through increased sales numbers. c. Henry James‚ a real estate investor considering
Premium Balance sheet Generally Accepted Accounting Principles Finance
Heading for 2050: The future in a nutshell Introduction This report is mainly surrounding the idea of technology evolution in 2050 in comparation to the present and with our current trends. It will merely present how the life can become even easier and simplified‚ the inaccesibility to information is almost nullified and how the nowadays Sci-fi ideas can become reality. 1. Accesibility First of all‚ when you think about the present‚ you think at how much the technology has evolved compared
Premium Evolution Time Present
Chapter 4 : Account Titles and Preparation of Financial Statements | Article 14 : The balance sheet items shallbe categorized as follows: 1. Assets. (1) Current assets. (2) Funds and long-term investments. (3) Property‚ plant and equipment. (4) Depletable assets. (5) Intangible assets.
Premium Balance sheet Generally Accepted Accounting Principles Asset
What is a theory? In this book we consider various theories of financial accounting. Perhaps‚ there¬fore‚ we should start by considering what we mean by a ’theory’. There are various perspectives of what constitutes a theory. The Oxford English Dictionary provides various definitions‚ including: A scheme or system of ideas or statements held as an explanation or account (description) of a group of facts or phenomena. Explanation or Account (description) of a group
Premium Financial Accounting Standards Board Scientific method Accountancy
control of the parent company and the financing used in providing those resources. Similarly‚ the consolidated income statement provides a better picture of the total revenue generated and the costs incurred in generating the revenue. Estimates of future profit potential and the ability to meet anticipated funds flows often can be more easily assessed by analyzing the consolidated statements. Q3-3 Parent company shareholders are likely to find consolidated statements more useful. Noncontrolling
Premium Balance sheet Asset
[APC309 STRATEGIC MANAGEMENT ACCOUNTING Individual Assignment : Task a and Task b ] Table of Contents Part a 1.0 Introduction to performance management …………………………………………………………………………….2 2.0 EVA and ROI ……………………………………………………………………………………………………………………………2 3.0 Mangers orientation due to using EVA and ROI……………………………………………………………………….3 4.0 Overcoming the short term nature of EVA and ROI………………………………………………………………….4 5.0 Appendix…………………………………………………………………………………………………………………………………8 Part b 1.0 Introduction
Premium Economics Management accounting Net present value
correct picture on the firm’s financial performance and financial position. We have to recognize all transaction occurring in that accounting period‚ irrespective of whether cash has been received or paid. The ultimate objective of adjusting entries is to ensure that the revenues (income) earned in the accounting period are matched by all costs incurred for that same accounting period (Monash College‚ 2011). Prepayment There are two types of adjusting entries‚ prepayments and accruals. Prepayment is
Premium Generally Accepted Accounting Principles Singapore Airlines