equal to the total dollar amount of the credits. These debit or credit entries affect two or more accounts in the assets, liabilities, and stockholders' equity (including the temporary accounts). All normal accounts on the left side of the accounting equation (assets) are increased by debits and decreased by credits whereas accounts on the right side of the equation (liabilities and stockholders' equity) are increased by credits and decreased by debits. A permanent account is an account whose balance
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calculation of NOPAT) (1) From the summarized form above, we can conclude that the current ration of Huntsman is: 8657/6881=1.25>1, which means a positive working capital, implying that Huntsman’s cash generated by “liquidating” current assets would be sufficient to pay liabilities. (2) The liabilities-to-equity ratio is: 6881/1776=3.87. From this index, we can actually see that Huntsman’s liabilities are almost 4 times the number of equity, and it’s much greater than the average index
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Advanced Medical Technology Corporation (AMT) Background Advanced Medical Technology Corporation, AMT, is a company that develops, manufactures, and sells medical instruments that offer an alternative to traditional surgical procedures at less risk and lower cost. Due to the innovative nature of the company and their need to sustain growth patterns they invest heavily on research and development and in their sales force. At the present time, AMT has been able to grow their sales in excess of
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Management Planning Student’s name Institution Management Planning Introduction Planning is the means of choosing the best option among others to carry out different managerial roles in order to attain predetermined objectives. It is a necessary management function, which includes formulation of one or more thorough plans to attain optimal balance of wants or demands with the available wealth. Planning is a thorough agenda concerning upcoming
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the acquirer’s previously held equity interest in the acquiree. b. The net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed measured in accordance with this Topic. Also goodwill shall be measured in whole because the acquiring entity is responsible for all of the acquiree’s assets and liabilities regardless of percentage owned. This means goodwill be measured for the acquiring entities portion and the non-controlling portion as well and presented
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adopting the codification. (see Codification Overview Tutorial) 1. Simplify the organization of authoritative literature. 2. Provide all authoritative literature in one spot. 3. Give real-time updates to help you stay current with the standards. 2) What does the letter “S” mean that precedes some section numbers in the codification? (see Navigation and Content Tutorial) SEC documents 3) Where in the codification (provide the full citation) does
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Business Contingency Plan Disaster assessment and recovery plan is a continuity strategy that is outlined in a detailed process that is designed to assist a company in recovering from an event(s) that disrupts the daily functionality of an enterprise. It should include guidelines and procedures initiated to respond successfully to and recover from disaster scenario(s) that can adversely impact business operations. Plans for this type of situation(s) should be well-constructed and implemented in
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Institution Professor Course Date “Liquidity ensures the ability of the firm to honor its short term commitments. This means that the firm has adequate cash to pay for its bills, to make unexpected large purchases to meet its contingencies, at all times”. Discuss. (25marks) For any enterprise to grow and thrive through the hardships of the business environments, it must owe a credible liquidity factor. Liquidity simply refers to the capability of a firm to settle its short bound
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related disclosures. All estimates are based on management’s best knowledge of current events and all actions the Company may embark on in the future. Estimates are used in accounting for and not limited to: valuation of acquired intangible assets, useful lives for depreciation and amortization, indefinite-lived intangible assets and long-lived assets, deferred tax assets, uncertain income tax positions and contingencies. Although actual results could differ from estimates, however management does
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IFRS and US GAAP: similarities and differences IFRS readiness series October 2012 Table of contents The heart of the matter 2 US financial reporting will change significantly within the next several years An in-depth discussion 4 Examining the implications IFRS affects US businesses in multiple ways What this means for your business 6 Anticipate and manage the change What companies can and should do now October 2012 The heart of the matter US financial
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