receivables must be financed from the time of the sale until they are collected. Therefore‚ both fixed and current assets must increase if sales are to increase. Of course‚ if assets are to increase‚ liabilities and equity must also increase by a like amount to make the balance sheet balance. • Spontaneous Liabilities The first sources of expansion funding are the “spontaneous” increases that will occur in a company’s accounts payable and accrued wages and taxes. The company’s suppliers give it 10 days
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years. The giant manufacturers sell some of the most popular candies across the world. Tootsie Roll Industries‚ Inc. seeks additional funding for Enterprise Resource Planning upgrades throughout the company. With the knowledge of increasing total liabilities by 10% or 2.5 million‚ Tootsie Roll Industries‚ Inc. has prepared an updated business plan displaying the company’s history‚ vision statement‚ products and services‚ management practices‚ financial statements‚ and the company application of the
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equation are assets‚ liabilities‚ and equity. Assets include Cash‚ Accounts Receivable‚ Notes Receivable‚ Prepaid Expenses‚ Land‚ Building‚ Equipment‚ Furniture‚ and Fixtures. Liabilities include Accounts Payable‚ Notes Payable‚ Accrued Liability‚ and Unearned Revenue. Equity includes Owner’s Capital‚ Owner’s Withdrawals‚ Revenue‚ and Expenses. 2. Companies need a way to organize their accounts so they use a chart of accounts. Accounts starting with 1 are usually Assets‚ 2 – Liabilities‚ 3 – Equity‚
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Sample Management Discussion and Analysis (MD&A) Note: This template is provided as a background for the MD&A. Districts have been preparing the MD&A for a number of years now‚ so for the most part you should start with your MD&A from LAST YEAR and update it. Therefore this document’s primary use is to remind you of what the MD&A is for and what points it should include. The purpose of the Management’s discussion and analysis (MD&A) is to introduce the basic financial statements and provide
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COMM 217 FINANCIAL ACCOUNTING FALL 2012 Section (lecture): B Group Project Part 2 (of 2) Dorel Inc. Presented to: Prof. George Kanaan Date: November 22nd 2012 John Molson School of Business – Concordia University $ = thousands of U.S. dollars Chapter 8 8.1 Cost of Sales Equation = Beginning Inventory + Purchases - Ending Inventory 1 846 470 000 = 510 068 000 + 177 811 000 - 442 409 000 Purchases for the year 2011 total $65 812 530. 8.2 Dorel calculates costs of
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1.0 INTRODUCTION Sapura Kencana Petroleum Berhad (Sapura Kencana) is a full-fledged upstream player and one of the world’s largest integrated oil and gas services and solutions providers. Sapura Kencana’s full spectrum of capabilities covers the entire value chain of exploration‚ development‚ production‚ rejuvenation‚ and decommissioning and abandonment. Multinational workforce comprising 51 nationalities and over 13‚000 people‚ comprehensive world-class assets and project management capabilities
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Business Plan Executive Summary EADA Technologies (EADA) is an exciting start-up company in the newly emerging field of Personal Tracking Devices; respected industry analysts such as Ovum and ABI Research predict this will become a $22 billion market within the next five years. Products and Services EADA will develop and distribute miniaturized Personal Locator Devices (or Personal Tracking Devices). Initially‚ the manufacturing of our devices will be subcontracted‚ while we develop the supporting
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In addressing the ratio computations for 2009 and 2008‚ Unaudited and Audited reports‚ below‚ there were no significant changes between the two reports. From 2008 to 2009‚ the current assets decreased‚ but showed an increase in the hospital’s liabilities. This change affected the current ratio of the hospital‚ which was 15.51 to 5.41. The drop in net receivables and cash equivalents according to the ratio computations dropped which had caused a change in the quick ratio of the hospital from 9
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Retained Earnings Identify each item as an “Asset”‚ “Liability” or “Equity” Account Common Stock Wages Payable Accounts Payable Inventory Land Notes Payable Prepaid Insurance Supplies Unearned Revenue Retained Earnings If assets increased by $5‚000 and liabilities decreased by $2‚000 then how much did stockholder’s equity increase
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2014 STUDENT C ASE C OMPETITION The Student Case Competition is sponsored annually by IMA® to provide an opportunity for students to interpret‚ analyze‚ evaluate‚ synthesize‚ and communicate a solution to a management accounting problem. Starfire’s Dilemma Capacity at What Cost? By Thomas L. Albright‚ CPA; Paul E. Juras‚ CMA‚ CPA; and Russ Elrod F ounded in 1968 by Alan James‚ Starfire Trucking Company has grown into a sizeable operation with 90 trucks and 180 trailers. Recently
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