000 Other assets 45,000 Deferred income taxes (long-term liability) 18,000 Retained earnings 33,000 Accumulated depreciation 61,000 Bonds and mortgages generally have 10-30 years until maturity. Marketable securities are short-term investments that can be converted to cash in a matter of minutes. Required: Prepare a classified balance sheet with a proper heading on a spreadsheet. For assets, use the classifications of current assets, plant and equipment, intangibles, and other
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AN OVERVIW OF CREATIVE ACCOUNTING AND WINDOW DRESSING Introduction: Every organization is expected to operate within the confinement of best practices or core competence at least, which has tendency of leading them to distinctive competence or exceptional practice. Since business operations center basically on finance, firms therefore take the accounting records of their organizations very serious as it determines their stay in industry or extinction from the market (business operations). It is
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of liability, or damage of an asset that can vary from probable to reasonably possible (FASB, 1975). The term loss or losses is used as a means to cover charges against income or expenses. An estimated loss from a loss contingency can be charged to income based on FASB paragraph 450-20-25-2 when the two conditions given below are satisfied: I. There is available information before issuance of the financial statements that indicates it is possible an asset had been damaged or a liability
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1. Describe the purpose a Balance Sheet A balance sheet can be described a financial statement that seeks to show the financial position of an organization. It shows the assets, liabilities and the equities of an organization at any given time. The assets of an organization can be described as the resources owned and/or controlled by the organization arising from past transaction and for which the organization can expect future benefits. The liabilities of an organization can be described as the
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principle of Assets = liabilities + owners’ equity. Each of these elements has their own unique function within the accounting equation. In the accounting equation, each side of the equation balances with the other at all times. This equation is commonly used on the balance sheet. Assets Assets are anything of value that a company owns, which includes cash as well. Several types of assets exist, such assets are as follows: Current, investments, capital, and intangible. These assets are all combined
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PROBLEM 1 Makalilisang Company Statement of Financial Position As of December 31, 2013 and 2014 ASSETS Cash Accounts Receivable Inventory Long-term Investment Land, Buildings and Equipment (net) Intangible Assets Other assets Total Assets LIABILITIES Current Liabilities Long-term Liabilities Total Liabilities STOCKHOLDER’S EQUITY 8% Preference Shares Ordinary Shares Share Premium Retained Earnings Total SHE TOTAL LIABIITIES AND SHE 2013 P 3,000,000 40,000,000
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FINANCIAL ACCOUNTING INFORMATION AND THE RELEVANCE/IRRELEVANCE ISSUE (Global Business & Economics Review Volume 5 No.2 December 2003 pp:140-175) Stanley C. W. Salvary, Canisius College ABSTRACT Some current research conclude that the numbers in financial statements are not relevant for three basic reasons. The numbers: (1) are not isomorphic with capital market values, (2) do not have a future orientation, and (3) are un-interpretable since they are based upon five different measurement attributes
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1.Abstract The balance sheet is necessary because it shows what the business has (assets) and what the business owes against those assets (liabilities). The difference between the assets and the liabilities shows the net worth of the business. The net worth of the business is important in that it is a measurement of the time the business is expected to stay in financial power. The balance sheet also provides the business with information on how best it is able to pay its debts. Underwriters also
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........................................................................................ 3 5 ACCOUNTING POLICIES........................................................................................................... 6 TANGIBLE ASSETS , INTANGIBLE ASSETS AND CAPITAL WORKIN PROGRESS........................................... 6 INVENTORIES ................................................................................................................................... 6 FIXED-PRICE CONTRACTS
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........................................................................ 14 CONSOLIDATION PRINCIPLES ................................................................................................................................ 16 NON-CURRENT ASSETS (OR
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