When should the milestone payments received to date by SolvGen be recognized as revenue? A: FASB codification (605-28) milestone method SolvGen Inc. is gonging to use the milestone method to recognize the revenue. The milestone method is a recently issued method of recognizing revenue for research and development arrangements under which consideration to be received by the vendor is contingent upon the achievement of certain milestones(FASB codification (605-28) milestone method). Under
Premium Income statement Income Generally Accepted Accounting Principles
Q15-4. In a contribution income statement‚ costs are classified according to behavior as variable or fixed‚ and the contribution margin (the difference between total revenues and total variable costs) that goes toward covering fixed costs and providing a profit is emphasized. In a functional income statement‚ costs are classified according to function (rather than behavior)‚ such as manufacturing and selling and administrative. This is the type of income statement typically included in corporate
Premium Variable cost Costs Contribution margin
Note: Income Statement Format Hanna 2004-08-03 Income Statement Presentation The objective of studying the format and presentation of the income statement is to gain an understanding of the different ways that certain economic events can be presented. Sometimes‚ the type of presentation depends upon management’s intent regarding the future. Needless to say‚ there is a lot of room for the application of judgment when choosing amongst various acceptable income statement formats. Interpreting
Premium Income statement Balance sheet Generally Accepted Accounting Principles
6/23/2014 FINANCIAL STATEMENTS The Hidden Road to Wealth Learning Expection Review accounting basics to understand the information on the financial statements Appreciate the essence of the Financial Statement Understand the component of the Income Statement and the Balance Sheet Determine how Income Statement and Balance Sheet are use in making financial decision 1 6/23/2014 BASIC Terms • FINANCIAL STATEMENT represent a formal record of the financial activities of
Premium Generally Accepted Accounting Principles Income statement Balance sheet
Income Statement of the Air Asia for the quarter end 31/3/2014‚ 30/6/2014 and 30/9/2014 First quarter 2014 (1Q14) The Group recorded revenue of RM1302.4 million for the quarter ended 31 March 2014‚ 0.1% higher than the revenue of RM1300.8 million recorded in the quarter ended 31 March 2013. The revenue growth was supported by a 4% growth in passenger volume while the average fare was down 9% at RM164 as compared to RM180.achieved in first quarter of 2013. Ancillary income per passenger was increased
Premium Revenue Generally Accepted Accounting Principles Cash
the bottom line of their income statement and is a measure of the firm’s income over a given period of time. The cash flow of a firm shows how a firm has used the cash it earned during a set of time. There are two reasons that the income statement does not show the amount of cash earned. One‚ there are non-cash entries on the income statement and second‚ there are certain uses such as a purchase of a building that are not reported on the income statement. The statement of cash flows utilizes the
Premium Stock Stock market Cash flow
Having a personal cash flow statement helps me to organize me finances by allowing me to see where exactly my money is going. I can see the area in which I really do not have to spend as much. For instance‚ housing expenses and transportation would be the priority for me. As much as I love to go out to the movies‚ I would have to cut down on my entertainment expenses. The most interesting thing I learned about completing this worksheet was discovering that most of the time I am spending more
Premium Finance Generally Accepted Accounting Principles Investment
How are the income statement and statement of cash flows used to make business decisions? The income statement reflects the company’s financial performance by showing how much money was generated (revenue)‚ how much was spent (expenses)‚ and the difference (profit) between the two over a period of time. It is divided into the operating and non-operating sections. It can also tell how much money shareholders would receive if the company were to distribute all of its net earnings. The cash flow
Premium Income statement Cash flow Time
As at 31 December 2014‚ VietinBank total assets reached VND 661‚132 billion‚ increased by 14.7% from 2013‚ equivalent to 103% of target set at the General Meeting of Shareholders. Fund Mobilization: Thanks to numerous fund mobilization and structuring solutions‚ VietinBank continued to maintain stable capital growth in the past several years. Total funding as at 31 December 2014 was VND 595 trillion‚ an increase of 16.3% compared to that of 2013 and reached 104% of the target set at the General
Premium Investment Bond Bank
Midterm Exam #2As the current CEO of Coca-Cola‚ I will pursue the strategy of localization‚ and there are several reasons below. First of all‚ because each country has its own culinary culture‚ Coca-Cola needs to adapt to a variety of culinary culture to increase their sales. Unlike products like cell phones or laptops which can become the best products as long as they are most advanced and practical‚ there is no best beverage because it’s really hard to identify. It means that Coca-Cola should
Premium Soft drink Coffee Drink