the goods arrived to the customer’s warehouse on October 5th. The auditor should check that the payment was received and the account receivable balance reduced in October 5th. If everything is in place, then the client properly recorded the sales revenue. However, it should be noted the client wrongly recorded a sale and receivable prior to September 30th because tittle had not transferred. 6) The
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Lease Accounting Update ( Learning objective After completing this chapter, you should be familiar with: A brief overview of the FAS B's proposed comprehensive new lease accounting guidance. I. The end is near... In May 2013, the FASB issued proposed ASU, Leases (Topic 842): a revision of the 2010 proposed Accountin-g Standards Update, Leases (Topic 840). The comment period ended in September 2013. Notice that the new lease accounting guidance is moving from FASB Accounting Standards
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KEY TERMS INTRODUCED OR EMPHASIZED IN CHAPTER 9 accelerated depreciation Methods of depreciation that call for recognition of relatively large amounts of depreciation in the early years of an asset’s useful life and relatively small amounts in the later years. amortization The systematic write-off to expense of the cost of an intangible asset over the periods of its economic usefulness. book value The cost of a plant asset minus the total recorded depreciation, as shown by the Accumulated
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an account that is used temporarily to determine the change in retained earnings that occurred during the accounting period. The balance in a temporary account is closed out at the end of the period. Examples: Sales, Cost of Goods Sold, Salaries Expense. The major financial statements of a company include: a. The income statement, which summarizes the results of the company's income producing activities for the accounting period. b. The balance sheet, which summarizes the amounts of the
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1. Describe the differences between financial accounting and managerial accounting. Financial Accounting Provides information to people who are outside of the company, such as shareholders. Financial reporting must be prepared by law. Scope is the entire organization. Prepared by using for 6 months periods or fiscally historical data. Not confidential. Managerial Accounting Provides information to people who are inside of the company, such as top management. No governmental regulations. Product or cost centric
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point in time, including assets (cash, items owned by the company, and money owed to the company); liabilities (debts and financial obligations); and equity (assets minus liabilities). • Income statement: A breakdown of the company’s revenue (income) and expenses (costs) over a specific period of time. The income statement shows whether the company has earnings, also
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ACCT 495 Advanced Accounting Midterm Exam https://homeworklance.com/downloads/acct-495-advanced-accounting-midterm-exam/ ACCT 495 Advanced Accounting Midterm Exam Midterm Exam Advanced Accounting (30 questions x 9 points each=270) 1. Pigskin Co., a U.S. corporation, sold inventory on credit to a British company on April 8, 2011. Pigskin received payment of 35,000 British pounds on May 8, 2011. The exchange rate was £1 = $1.54 on April 8 and £1 = 1.43 on May 8. What amount of foreign exchange
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Becker CPA Review, PassMaster Questions Lecture: Financial 1 CPA PassMaster Questions-Financial 1 Export Date: 10/30/08 1
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increase efficiency the boards decided to focus on the priority projects. Two of those projects, fair value measurement and statement of other comprehensive income, are poised for release. Now, the “big three” remain—financial instruments, revenue recognition, and leases. The IASB is also working to its monster project on insurance contracts, with the FASB closely engaged in the discussion. Therefore, bellow is the list of the active joint FASB/IASB projects according to current technical plan on
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renters to connect with real estate and mortgage professionals. In what fiscal quarter does your company earn the most revenue? Zillow makes their most revenue during their fiscal fourth quarter. They gradually earn more revenue throughout the year (first quarter being the smallest). For the past 5 years, the fourth quarter has accounted for 29-31% of the yearly revenue stated on the annual income statement. What types of products and services does your company sell? Zillow serves the full
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