QUESTION Who are the two key international players in the development of international accounting standards? Explain their role. T he two key international players in the development of international accounting standards are the IASB (International Accounting Standards Board) and the IOSCO (International Organization of Securities Commissions). The IASB is a private accounting standards-setting body which […]
QUESTION Special Delivery was started on May 1 with an investment of $45,000 cash. Following are the assets and liabilities of the company on May 31, 2012, and the revenues and expenses for the month of May, its first month of operations. Accounts receivable $6,200 Notes payable $28,000 ANSWER: CLICK REQUEST FOR AN EXPERT […]
QUESTION The following items were taken from the balance sheet of Nike, Inc. 1 Cash $2,291.10 2 ANSWER: CLICK REQUEST FOR AN EXPERT SOLUTION
QUESTION The following items and amounts were taken from Linus Inc.”s 2012 income statement and balance sheet. Cash $84,700 Accounts receivable 88,419 ANSWER: CLICK REQUEST FOR AN EXPERT SOLUTION
QUESTION All businesses are involved in three types of activitiesfinancing, investing, and operating. Listed below are the names and descriptions of companies in several different industries. Abitibi Consolidated Inc.manufacturer and marketer of newsprint Cal StateNorthridge Stdt Unionuniversity student union Oracle Corporationcomputer software developer and retailer Sportsco Investmentsowner of the Vancouver Canucks hockey club ANSWER: […]
QUESTION Indicate in which part of the statement of cash flows each item would appear: operating activities (O), investing activities (I), or financing activities (F). (a) _____ Cash received from customers. (b) _____ Cash paid to stockholders (dividends). (c) _____ Cash received from issuing new common stock. (d) _____ Cash paid to suppliers. ANSWER: […]
QUESTION What are the three main types of business activity? Give examples of each activity. The three main types of business activities are operating, financing and investing. All these three activities involve cash flow but the use of money decides the category to which it belongs. Operating activities constitute the daily business activities carried out […]
QUESTION What are the three basic forms of business organizations? The three basic forms of business organizations are sole proprietorship, partnership and corporation. A sole proprietorship is the business owned by one person. The owner may operate the business himself or may employ others to operate it. A partnership form of business organization is the […]
QUESTION Why is liquidity important in analysis of financial statements? Explain its importance from the viewpoint of more than one type of user. Liquidity is very important part of financial statement analysis. For an investor considering an investment in a company, liquidity of the stock of the company will be important to measure the transaction […]
QUESTION Explain the following statement: While the balance sheet can be thought of as a snapshot of the firm”s financial position at a point in time, the income statement reports on operations over a period of time. Balance Sheet or Statement of financial position reflects the financial position of the organization at a particular date. […]
