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Why are we interested in Cash flow rather than accounting profits in determining the value of assets?
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The type of corporate ownership that has first claim on profits and assets is called a?
Preferred stock holders are those who have the first claims ob profits and assets.
Who has the first claim to the profits and assets of a firm?
Creditors.
Who has the first claim to the profits or assets of a firm?
a - lenders
Does private financiers have first claim to profits or assets of a firm?
Lenders does.
How do you record transactions using the accounting equation?
Assets= Liabilities + Equity
Cash flow rather than accounting profits in determining the value of assets?
You will want to use cash flows because that is what's being used. It shows you what's going in and out
what is risk management?
Risk management is the process of determining, evaluating, and controlling the financial, legal, strategic, and security risks to the assets and profits of an organisation.
What is the importance of ratio analysis in accounting?
Ratio analysis in accounting is used to evaluate a firm's activity and productivity, as well as its efficiency in using its assets to generate profits. It is also used by investors in evaluating investment decisions.
Assets equals liabilities plus net assets?
Yes. Assets = Liabilities + Net Assets. Net assets are traditionally referred to as equity (the phrase net assets are typically used by not-for-profits and non-profits).
Define the three components of the accounting equation?
The accounting equation is as follows: ASSETS = LIABILITIES + EQUITY
Operating return on assets is affected by?
Operating Profits and total assets
What does the Accounting Equation in accounting?
The Accounting Equation is Assets=Liabilities + Owner's Equity?
What is the accounting equation and how does it work?
The accounting equation displays the relationship between capital, liabilities and the assets. The accounting equation shows that the assets are a sum of the liabilities and the invested capital.
The type of corporate ownership that has first claim on profits and assets is called a?
Preferred stock holders are those who have the first claims ob profits and assets.
Who has the first claim to the profits or assets of a firm?
a - lenders
Who has the first claim to the profits and assets of a firm?
Creditors.
What is an overview of accounting?
Accounting is the study of finical transactions. Accounting basic equation is Assets= Liabilities + Owner's Equity.
