for 1991: The balance sheet was created by disregarding the fact that butler lumber company needs additional loan. Cash‚ accounts receivables as well as net property plant were computed based on the average % of sales of the 3 previous years. The same idea was used to determine the projected accounts payables and accrued expenses. Net worth of Butler Lumber Company was net worth from the previous year and net income from the projected income statement
Premium Accounts receivable Balance sheet Debt
addresses transfers of receivables. The relevant codification section that addresses transfers of receivables is the following: FASB ASC 860-10-05-15. C. Provide definitions for the following: 1) Transfer: The conveyance of a noncash financial asset by and to someone other than the issuer of that financial asset. A transfer includes the following: selling a receivable‚ putting a receivable into securitization trust‚ and posting a receivable as collateral. A transfer
Premium Balance sheet Accounts receivable Generally Accepted Accounting Principles
what Accounting Principle or Concept The accounting entity concept The reliability principle The cost principle The going concern principle The stable-monetary-unit concept QUESTION 3 Purchasing a motor vehicle on credit will have what affect on the accounts of a business Increase assets and increase owners equity Decrease owners equity and increase liabilities Increase assets and increase liabilities Decrease assets and decrease liabilities None of the above QUESTION 4 What type of Business Entity
Premium Accounts receivable Generally Accepted Accounting Principles Balance sheet
from suppliers. As Jones sales growth rate is high than sustainable rate‚ so its net earning could not support increased account receivable and inventory. Then the company need bank loan to finance the increase business. Q3‚ what drove the increase in Jones’s accounts receivable and inventory balances in 2005 and 2006? Sales growth drove the increase of accounts receivable and inventory balances in 2005 and 2006. Q4‚ Is Nelson Jones’s estimate that a $350‚000 line of credit is sufficient
Premium Debt Accounts receivable Accounting software
statements‚ a company must adjust its accounts. This is accomplished with periodic adjustments (also known as adjusting journal entries or accounting adjustments). For each account below‚ explain the types of transactions or events that necessitate periodic adjustments to the account for the typical company. i. “Inventories‚ net.” – If a company purchases products to be resold‚ there is an adjustment on the balance sheet to reflect this net inventory. ii. “Receivables‚ net.” – If a company sells a
Premium Balance sheet Generally Accepted Accounting Principles Income statement
Debit | Owner’s Equity | Credit | Debit | Revenues | Credit | Debit | Expenses | Debit | Credit | Practice 2-2 (Solution) State whether the following have debit balances or credit balances: a.) Accounts Payable- Credit balance b.) Salary Expense- Debit balance c.) Notes Receivable- Debit balance d.) Mr. Asuncion‚ Capital- Credit balance e.) Cash- Debit balance f.) Mr. Asuncion‚ Drawing- Debit balance g.) Furniture and Fixtures- Debit balance h.) Rent Expense- Debit balance i.)
Premium Accounts receivable Generally Accepted Accounting Principles Accounts payable
following items appeared in the accounting records of Triguero’s‚ a retail music store that also sponsors concerts. | Classify each of the items as an asset‚ liability; revenue; or expense from the company’s viewpoint. Also indicate the normal account balance of each item. | | | | | | Classification | Normal Balance | a. The albums‚ tapes‚ and CDs held for sale to customers. | A | Debit | b. A long-term loan owed to Citizens Bank. | | L | Credit | c. Promotional costs
Premium Generally Accepted Accounting Principles Balance sheet Accounts receivable
Week 6 Assignment: Candela Corporation Case Rebecca Mouser ACC/230 Financial Reporting: Peeking Under the Financial Hood November 4‚ 2012 Instructor Nathan McDaniel Week 6 Assignment: Candela Corporation Case Assignment: Candela Corporation Case Resource: Ch. 4 of Understanding Financial Statements * Compose a 500- to 750-word paper responding to questions 1 and 2 of the Candela Corporation Case on p. 146 (Ch. 4). * Format your paper according to APA standards. * Post your
Premium Balance sheet Generally Accepted Accounting Principles Accounts receivable
list‚ shown as A through O in the problem. Select two of the fraud items from the list and note them here: Fraud Item #1 Invoices for goods sold are posted to incorrect customer accounts. Fraud Item #2 Invoices are sent for shipped goods and are recorded in the sales journal‚ but are not posted to any customer account. Following the scientific method‚ answer the following questions below: a. Do background research in relationship to the issue to get a more in-depth understanding of the situation
Premium Accounts receivable Invoice Scientific method
quantities‚ prices‚ extensions and footing‚ and freight allowances and checked with customers’ orders? Yes. Accounts receivable clerk 13. Is there an overall check for errors in arithmetic accuracy of period sales data by a statistical or product-line analysis? Yes. Marketing vice president 14. Are periodic sales data reported directly to general ledger accounting independent of accounts receivable accounting? No.
Premium Invoice Accounts receivable Accounts payable