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In the case of excess cash in the balance sheet
then the company have two option
either retianed into the business. Let it grow and may be invest in new project......benfit from this way,is that, this will help in increase future cash flow for shareholder through raise in their shre price
or another option for company is payout--- in the from dividend to their shareholder. This option will the help company to win shareholder hope
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∙ 13y ago
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Does goodwill only appear on the consolidated balance sheet?
That is correct. Goodwill as an asset appears on the balance sheet of a consolidated company to represent any premium that the acquiring company paid for a subsidiary company that is in excess of the fair value of the company's net assets. Therefore, Goodwill would only show up on the consolidated balance sheet, as the subsidiary's net assets are not reflected on the acquiring company's balance sheet until the consolidation process.
What is a comparative balance sheet?
Comparative balance sheet is that balance sheet in which comparison for more than one period is done to find out the performance of company.
Is Inventory an asset on balance sheet?
Yes, it is a stock of the company so it is shown as asset in the balance sheet.
Why comparative balance sheet is prepared?
Balance sheet is prepared to know the financial position on the Business/Company.
Why people use balance sheet?
people use balance sheet to find out the actual performance of company so that they may decide to invest in company.
Does goodwill only appear on the consolidated balance sheet?
That is correct. Goodwill as an asset appears on the balance sheet of a consolidated company to represent any premium that the acquiring company paid for a subsidiary company that is in excess of the fair value of the company's net assets. Therefore, Goodwill would only show up on the consolidated balance sheet, as the subsidiary's net assets are not reflected on the acquiring company's balance sheet until the consolidation process.
Where do you find positive and negative numbers in finance?
In a company balance sheet.In a company balance sheet.In a company balance sheet.In a company balance sheet.
Is debentures in balance sheet?
Yes,debenture in the balance sheet because debentures is liability for the company so it comes debit side in balance sheet in the books of the company.
Balance sheet of hypothetical business entity?
Prepare a Balance sheet for hypothetical company
Is there a difference between a merchandiser's balance sheet and a service company's balance sheet?
Yes in merchandiser balance sheet there is stock of items available in balance sheet while in services balance sheet there is no inventory item available.
Difference between balance sheet and consolidated balance sheet?
Simple balance sheet provides information of one single company only while consolidated balance sheet provides the information of parent as well as child company as a single financial statement.
What is a comparative balance sheet?
Comparative balance sheet is that balance sheet in which comparison for more than one period is done to find out the performance of company.
Where do you place extraordinary gains on a balance sheet?
Extra ordinary gains is shown in income statement of the company and it is not shown in the balance sheet of the company.
What information is entered on the third line of the heading of a balance sheet?
The date The first is the person/ company who you are doing the balance sheet for, and the second is the title "Balance Sheet"
Is Inventory an asset on balance sheet?
Yes, it is a stock of the company so it is shown as asset in the balance sheet.
Why comparative balance sheet is prepared?
Balance sheet is prepared to know the financial position on the Business/Company.
What is the different between condlidated balance sheet and acutal balance sheet?
Consolidated balance sheet shows the record of full group of companies while simple balance sheet shows the record of single company.
