hypothesis and its implications on the information perspective of accounting. As information perspective was later replaced by the measurement perspective‚ we will discuss recent accounting measurement issues‚ including fair value accounting and off-balance sheet liabilities. Positive accounting theory‚ earnings management‚ executive compensation and economic consequences of standard setting will be covered in the last part. Financial Accounting Theory is a rigorous subject requiring not only accounting
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= $420‚021.00 2. The Robinson Company has the following current assets and current liabilities for these two years: 2010 2011 Cash and marketable securities $50‚000 $50‚000 Accounts receivable $300‚000 $350‚000 Inventories $350‚000 $500‚000 Total current assets $700‚000 $900‚000 Accounts payable $200‚000 $250‚000 Bank loan 0 150‚000 Accruals 150‚000 200‚000 Total current liabilities $350‚000 $600‚000 If sales in 2010 were $1.2 million
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Liabilities in a Balance Sheet We all know that Balance sheet tells us the financial position of a business at a particular point of time. The accounting equation i.e. Assets = Liabilities + Capital forms lays the foundation for the preparation of Balance Sheet. Everything that the business owns are its assets. Alternatively‚ whatever amounts a business owes to outsiders become its liabilities. First let us see how these assets are to be classified. Current Assets: Current Assets are assets
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and organized balance sheet and income statement in which all of the company ’s information is listed in the proper order. The balance sheet can be viewed annually or quarterly and all amounts are in US dollars by millions except for per share amounts. The balance sheet first begins to lists the company ’s assets. The assets section is broken down by current assets‚ cash‚ net receivables‚ inventories‚ and other current assets. The balance sheet then lists in order the total current assets‚ net fixed
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LAW OF EQUITY ASSIGNMENT IAN NDUNGU WAWERU DLAW/112/00101 DISTINGUISH BETWEEN EQUITY AND COMMON LAW LECTURER: MARK WAGIA Common law‚ defined by Oxford Dictionary‚ is law that is derived from custom and judicial precedent instead of statutes. Equity‚ on the other hand‚ is a branch of law‚ which developed alongside common law‚ and is focused on fairness and justice. But aside from their descriptions‚ there are other differences between common law and equity. History of common law
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A Role for Equity Theory in the Turnover Process: An Empirical Test1 RODGERw.GRlFFETH2 AND STEFAN GAERTNER Department of Management Georgia State Universiw The purpose o f the present study was to examine the role o f equity theory in the context of the contemporary turnover process. A model was developed and tested with 192 hospital employees using structural equation modeling (SEM)‚ which placed satisfaction and intention to quit as mediators of employee turnover. The results strongly support
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business with $50‚000 of her own money‚ and she borrowed $150‚000 from the bank. From this description‚ list each of the scarce resources that are used in Carry Yoki’s Lounge. Entrepreneurial resource: Carry Yoki. Labor resources: 2 bartenders‚ 3 servers‚ 2 assistant servers‚ 2 cooks‚ 1 dishwasher‚ and a clean-up person. Economic capital resources: 1 bar‚ 15 bar stools‚ 4 tables‚ 40 chairs‚ 4 television sets‚ one satellite dish‚ oven‚ stove‚ grill‚ refrigerator‚ sinks‚ dishes‚ and glassware
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cash flows in the current period. T158. Revenue cannot be recognized unless delivery of goods has occurred or services have been rendered. F159. Accrual accounting recognizes revenues and expenses at the point that cash changes hands. F160. A deferral is the recognition of an expense that has arisen but has not yet been recorded. T161. Adjusting entries are useful in apportioning costs among two or more accounting periods. T162. An adjusting entry includes at least one balance sheet account and at least
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KEITH BAIN Pg 32 A sound system of banking is very important for any economy. Commercial banks are directly related to the payment system of the economy. Generally most commercial banks are controlled by the central bank of that particular country. The central bank can never allow the banking system to fail because if banks start to fail the payment system will fail. They may allow some banks to fail but the government will never allow big banks or the whole payment system to collapse. This is very
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Speech Scope of the 1980’s During the 1980’s‚ the South African government was under immense pressure. Both internally due to an increase in resistance‚ as well externally due to an intensification of international pressure through sanctions and various campaigns. In order to combat this‚ the government introduced a policy of “Total Onslaught - Total Strategy.” This policy introduced a number of reforms in the hope of winning the support of non-white South African’s in an attempt to undermine
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