Question 1 Explain using various examples,how the major accounting concepts are used in preparing financial statements. Accounting is the language of business and it is used to communicate finance information. In order for that information to make sense, accounting is based on 11 major concepts significantly. These fundamental concepts then form the basic for all of the Generally Accepted Accounting Principles (GAAP). And these are the major concepts: 1. Historical Cost Concept
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ACCT 221 Principles of Accounting II Final Exam Answers Follow Link Below To Get Tutorial https://homeworklance.com/downloads/acct-221-principles-of-accounting-ii-final-exam-answers/ ACCT 221 Principles of Accounting II Final Exam Answers Part A. On January 1, 2014, Flip Corporation had 560,000 shares of $1 par value common stock issued and outstanding. There was a $3,000,000 balance in the Retained Earnings account at the beginning of the year. During the first quarter of the year, the
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Regulation environment:1. accounting is regulated by private-sector body(FASB), but government underpins the authority of its standards. 2. no legal requirement for the publication of FS3. each state has its own corporate statutes and not rigorously enforced. Reports rendered to local agencies are often unavailable to the public4. only listed companies have compulsory requrirements for FR at the federal level as specified by the SEC. | | | | Regulation environment:1. Dutch accounting presents several interesting
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Table of Content: Notes to Consolidated Financial Statements 1. Summary of Significant Accounting Policies Principles of Consolidation Description of the Company New Accounting Pronouncements Cash and Cash Equivalent Inventories Investments Property, Plant and Equipment and Depreciation Earnings per Share Revenue Recognition Research and Development Use of Estimates Income Taxes Annual Closing Date 2. Cash, Cash Equivalents and Current Marketable Securities 3. Inventories 4. Property, Plant and
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……………………… University Name: - ………………………. Assignment – 1 Principles, Standards and Conventions of Accounting Accounting is defined as an art of recording, classifying, summarizing and presentation of financial information. Accounting ultimate produces the financial information being used by different interested parties in the organization, the relationship may be direct or indirect. For such presentation, we need certain set principles so that the possibility of presenting the information may not
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ACCOUNTING 101 MIDTERM EXAMINATION 1. Which of the following is the correct accounting equation? A) Assets + Liabilities = Owner’s equity B) Assets = Liabilities + Owner’s equity C) Assets + Revenue = Owner’s equity D) Assets + Revenue = Liabilities + Expenses 2. Which of the following financial statements shows the changes in capital during a period of time? A) Income statement B) Statement of owner’s equity C) Statement of cash flows D) Balance sheet 3
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Questions: 2. State two generally accepted accounting principles that relate to adjusting the accounts. Matching Principle and Accrual basis Matching Principle - This accounting principle requires companies to use the accrual basis of accounting. The matching principle requires that expenses be matched with revenues. For example, sales commissions expense should be reported in the period when the sales were made (and not reported in the period when the commissions were paid). Wages to employees
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financial managers in conducting. They conduct effect analysis of the organization’s revenues, expenses, assets, and much more. In the next few paragraphs in the paper will be discussed is the four elements of financial management, the accepted accounting principles, and a few general financial, ethical standards will conduct. Plus, there would be examples of conduct and financial reporting practices in the health care organizations from other articles that will be discussed. The four elements of
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A conceptual framework for financial reporting A conceptual framework, in the field we are concerned with, is a statement of generally accepted theoretical principles which form the frame of reference for financial reporting. The financial reporting process is concerned with providing information that is useful in the business and economic decision-making process. Therefore a conceptual framework will form the theoretical basis for determining which events should be accounted for, how they should
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Primary benefits Obviously, the IFRS adoption will bring a great deal of benefit to Japan. At first, the IFRS adoption will assist Japanese corporations especially those large MNCs embracing the global capital market in fast speed. As world’s third large economy, Japan houses a great number of prestigious international corporations, such as Toyota, Sharp, Sony and Toshiba etc. However, the discrepancy between local GAAP and IFRS to some extent hinders those Japanese MNCs from entering into the
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