Module 1 – 3 (Chapter 1 – 4) Chapter 1 Survey of International Accounting * Purposes for financial statements: comparability‚ information usefulness -> accounting harmonization * Factors that influence a country’s accounting standards: 1. Role of Taxation 2. Level of Development of Capital Markets – fairly sophisticated investors demand current and useful information from those who have received their capital 3. Different Legal Systems 4. Ties between Countries 5. Inflation
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statement of comprehensive income. This will continue until the convertible bonds are exercised in then which A Ltd. will acquire control over B Co. and then be required to prepare consolidated financial statements. At this time‚ A Ltd. will own 51% of B Co. and likely use the proprietary model when preparing consolidated financial statements as this method would accurately portray the ownership percentage of B Co. that is owned by A Ltd. Since A Ltd. holds these convertible bonds but has not converted
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inventory will be included in the consolidated balance sheet immediately following the acquisition? A. $0 B. $65‚000 C. $70‚000 D. $60‚000 2. Based on the preceding information‚ what amount of land will be included in the consolidated balance sheet immediately following the acquisition? A. $0 B. $10‚000 C. $90‚000 D. $100‚000 3. Based on the preceding information‚ what amount of buildings and equipment (net) will be included in the consolidated balance sheet immediately following
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INSTRUCTION Beneficiary: Ikeja Electricity Distribution Company (IKEDC) Date: 31/10/2012 Session time: 23:59:59 Good day‚ Kindly effect the transfers into the following IKEDC Accounts with the corresponding amounts‚ being settlements for consolidated payments made from 31/10/2012 16:00:00 to 31/10/2012 23:59:59. Kindly follow accepted instruction confirmation procedure Business Unit Account Number Ref Number Amount 1 Abule-Egba 1012998242 (Zenith Bank) FIK2012110112001 N7‚400.00 2 Ikotun
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CHAPTER 1 1. Internal expansion involves a normal increase in business resulting from increased demand for products and services‚ achieved without acquisition of preexisting firms. Some companies expand internally by undertaking new product research to expand their total market‚ or by attempting to obtain a greater share of a given market through advertising and other promotional activities. Marketing can also be expanded into new geographical areas. External expansion is the bringing together
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ALZA Pharmaceuticals Corporation’s financial statement failed to reflect economic reality through overstating revenues and net income. First‚ ALZA did not include the assets‚ liabilities‚ equity‚ revenue or expense account of TDC and Crescendo to consolidated financial statement. Second‚ there were some timing issues regarding ALZA’s recording of product development revenue and Crescendo’s recording of R&D expense. Key players Based on the issues identified above‚ determine the key players
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million and operating income ranging from 10-20% per project‚ Thermo Electron Corporation should proceed with the spin-out of Thermo Electron Technologies. The use of put options to maintain external stockholder relationships and accounting by consolidated financial statements (equity method) are key to making the spin-out most beneficial. A spin-out‚ as Thermo Electron Corporation discovered with their previous spin-out of Thermo Cardiosystems‚ was an effective way to raise capital to pursue
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financing for an acquisition structured as either an asset or stock acquisition? a. Cash b. Issuing Debt c. Issuing Stock d. All of the above 4. The objectives of FASB 141R (Business Combinations) and FASB 160 (NonControlling Interests in Consolidated Financial Statements) are as follows: a. to improve the relevance‚ comparibility‚ and transparency of financial information related to business combinations. b. to eliminate the amortization of Goodwill. c. to facilitate the convergence project
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Objectives Explain why corporations invest in stocks and debt securities. Describe how debt and stock investments are reported in financial statements. Analyze consolidated financial statements to make business decisions in a global business environment. Analyze the corporation’s most recent financial statements and answer the following: | |How are the corporation’s debt securities reported
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accounting firm‚ has audited the effectiveness of the Company’s internal control over financial reporting. They provide a clean opinion on the financial statements. On page F-2‚ the auditor had written a note stating‚ “In our opinion‚ the accompanying consolidated financial statements present fairly‚ in all material respects‚ the financial position of Green Mountain Coffee Roasters‚ Inc. and its subsidiaries at September 24‚ 2011 and September 25‚ 2010‚ and the results of the operations and their cash flows
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