CHAPTER 3 BALANCE OF PAYMENTS SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS QUESTIONS 1. Define the balance of payments. Answer: The balance of payments (BOP) can be de fined as the statistical record of a country’s international transactions over a certain period of time presented in the form of double-entry bookkeeping. 2. Why would it be useful to examine a country’s balance of payments data? It Answer: would be useful to examine a country’s BOP
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Types of Receivables Accounts Receivable: amounts due from customers for sales on credit. Businesses sell to customers on credit in an attempt to increase their sales. Also called Trade Debtors. Bills Receivable: similar to accounts receivable but bills receivable are a legal instrument. Interest is charged on the bill receivable and it usually gives more time to pay than accounts receivable. interest receivable‚ rent receivable Accounts Receivable Recognition of accounts receivable Recorded
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Chapter 4 Discussion Questions |4-1. |What are the basic benefits and purposes of developing pro forma statements and a cash budget? | | | | | |The pro-forma financial statements and cash budget enable the firm to determine its future level of asset needs and the| | |associated financing
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Fail-safe Equipment Corporations today budget for the purchase of extra servers for the main servers for their organization. These extra servers are configured so that they will automatically take over functionality if the main servers stop processing services due to outside attacks or even hardware failures. Any event or transaction that occurs in the main server is continuously replicated to the hard-drive memory of the redundant servers. This replication allows for either server to take control
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GA-2 February 25‚ 2012 Dear Audit Staff: This memo will give us an idea of what what special business knowledge we will need to have in regards to the basic type of business and products Apollo Shoes manages. It will also provide the necessary staffing we will need to have for this audit. Apollo Shoes provides high tech electronics for todays modern athlete. They’re committed to pushing the envelope and expanding they’re products to the global and galactic marketplace. With this
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Multiple Choice Questions 1. Which of the following statements is true? A. The word "cost" has the same meaning in all situations in which it is used. B. Cost data‚ once classified and recorded for a specific application‚ are appropriate for use in any application. C. Different cost concepts and classifications are used for different purposes. D. All organizations incur the same types of costs. E. Costs incurred in one year are always meaningful in the following year. 2. Which of the following
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which the business faces and over which it has little or no control. The business environment of a firm includes 1. Market forces with their associated uncertainty 2. Forces of demand and supply originating from the rest of the world 3. The government policies 4. Nature i.e. the environmental factors Now‚ the scenario is changing. Indian market is getting connected to global market: 1. Appreciation of rupee 2. Change in policies. The country turned into an open economy 3. Change in technology
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1. Accounting Principles are the rules based on which accounting takes place and these rules are universally accepted. Explain the principles of materiality and principles of full disclosure. Explain why these two principles are contradicting each other. Your answer should be substantiated with relevant examples. (10 Marks) 2. Explain any two types of errors that are disclosed by trial balance with examples and rectification entry. Note - Avoid giving examples given in the self learning material
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Debit • Credit • BOP must be in equilibrium • Balance of payments in Pakistan • Causes of adverse balance of payments • Measures to correct BOP • Conclusion Introduction: Balance of payments refers to sum of both the balance of visible and invisible items. The balance of Payment is a comprehensive annualrecord of economic relation of a country with the rest of the world during a given period of time. A balance of payments (BOP) sheet is an accounting record of all
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CXC PRINCIPLE OF ACCOUNTS PROJECT School-Based Assessment (S.B.A) (Year 2012) [pic] Submitted by: Danique Arthurs Year: May/June 2012 Name of School: Charles Fordyce Business College Name of Teacher: Charles Fordyce Centre No: 100228 Candidate No: Territory: Jamaica Table of Contents Introduction………………………………………………………………..5 Acknowledgement………………………………………………………...6 Description of Business…………………………………………………...7 Location of
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