major parts of this statement. (10 points) (TCO 1) The accounting profession follows a set of guidelines for measurement and disclosure of financial information called the Generally Accepted Accounting Principles (GAAP). (1) Explain what the International Financial Reporting Standards (IFRS) are (10 points) and (2) provide an example of its application. (10 points) (TCO 2) Transaction analysis results in the development of a journal entry. Supplies are purchased on account agreeing to pay $500 within
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measurements and related disclosures. Learning Objectives LO1–1 Describe the function and primary focus of financial accounting. LO1–2 Explain the difference between cash and accrual accounting. LO1–3 Define generally accepted accounting principles (GAAP) and discuss the historical development of accounting standards, including convergence between U.S. and international standards. LO1–4 Explain why the establishment of accounting standards is characterized as a political process. LO1–5 Explain
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IFRS: FASB and IASB Fair value measurements provide users of financial statements with an accurate picture of the value of a company’s assets. Both IFRS and GAAP require firms to include information regarding fair value measurement practices in the notes of financial statements. Under either system, companies will be required to report assets at either book value or fair value, depending on the situation. As a general rule of thumb, all assets in the same class must receive the same valuation treatment
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International Journal of Accounting & Information Management The role of corporate governance in convergence with IFRS: evidence from China Yu Chen Zabihollah Rezaee Downloaded by UNIVERSITI MALAYSIA SABAH At 05:16 06 October 2015 (PT) Article information: To cite this document: Yu Chen Zabihollah Rezaee, (2012),"The role of corporate governance in convergence with IFRS: evidence from China", International Journal of Accounting & Information Management, Vol. 20 Iss 2 pp. 171 - 188 Permanent
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Adoption of IFRS Improve Accounting Quality? Preliminary Evidence* ANWER S. AHMED, Texas A&M University MICHAEL NEEL, University of Houston DECHUN WANG, Texas A&M University 1. Introduction We provide evidence on the preliminary effects of mandatory adoption of International Financial Reporting Standards (IFRS) on accounting quality for a relatively broad set of firms from 20 countries that adopted IFRS in 2005 relative to a benchmark group of firms from countries that did not adopt IFRS matched
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INFORMATION THAT HELPS MANGERS PLAN AND EVALUATE COMPANY ACTIVITIES AND MAKE BUSINESS DECISION. PROVIDING INFORMATION FOR PLANNING, EVALUATION AND DECISION MAKING IS THE PRIMARY OBJECTIVE OF MANAGERIAL ACCOUNTING. MANAGEMENT ACCOUNTING vs. FINANCIAL ACCOUNTING USERS OF INFORMATION ➢ FINANCIAL ACCOUNTING IS AIMED PRIMARILY AT EXTERNAL USERS LIKE BANKS ,SHARE HOLDERS, CREDITORS, STOCK EXCHANGE ETC EXTERNAL USERS NEED INFORMATION TO MAKE INVESTMENT , LENDING AND REGULATION DECISON
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Chapter 07 Foreign Currency Transactions and Hedging Foreign Exchange Risk Multiple Choice Questions 1. According to the World Trade Organization, what was the size of international trade in 2008? A) $7,000,000,000 (7 billion dollars) B) $70,000,000,000 (70 billion dollars) C) $37,000,000,000 (37 billion dollars) D) $16,000,000,000,000 (16 trillion dollars) Answer: D Level: Easy LO: 1 2. In the years between 1990 and
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assumption – stable Interntional Financial Reporting Standards(IFRS) Many countries have own versions of generally accepted accounting principles (GAAP) Reports had to be restated to convert accounting data from one country to another IFRS developed and are used by most countries in the world US still follows on GAAP US GAAP overseen by the Securities and Exchange Commission (SEC) SEC tentaviley set date for U.S adoption of IFRS in 2015 Will make it easier to compare financial statements
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Accounting is making a record of transactions, so they can be understood. Accounting equation Is the balance sheet. It is the most important financial statement. All other statements come back to BS in the end. Assets= liabilities + equity GAAP vs IFRS- international Two types of assets- current and long term. Current assets- cash, inventory, AR around for a year or under. Value in sale Long term assets- plant, equipment, land, vehicles. Anything that can be depreciated. around for
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ACC557 – Financial Accounting The following will describe the mobile car wash, the benefits it has, and provide a chart of accounts explaining the need for each item to be purchased. The type of business that I will create is a mobile car wash. A mobile car wash will solve several business problems. The first business issue that a mobile car wash solves is that “mobile car washes often use less water than traditional car washes” (Sinclair, 2012). Mobile car washes can be performed
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