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Financial Statements
A financial statement is a record of the financial activities of a person or business entity where all related financial information are presented in an orderly manner and can be easily understood.
5,583 Questions
What is the journal entry for accrued for interest on certificate of deposit?
debit interest receivable
credit interest income
How establishment expenses treated in the financial statements?
Because its dangerous to human being
Because of the pathogens group which your body will be vanished by the items of a certain establishment
Definition of management accounting?
Managment accounting is a process of identifying, measuring, analysing and communication of information to internal managment so as to help them plan and make decisions.
What is the golden rule of accounting?
I presume you're asking for the golden rules of accounting, instead of the golden rules of accounts.
The "golden rule of accounts" doesn't even exist, anyway, even if you wanted to know what it is.
In this case, the golden rules of accounting are:
For personal accounts, debit the receiver and credit the giver.
For real accounts, debit what comes in and credit what comes out.
For nominal accounts, debit all expenses/losses and credit all income/gains.
When there is a net loss the entry to close income summary is?
Debt Income Summary
Credit Retained Earnings.
A common set of accounting standards and procedures are called?
GAAP - Generally Accepted Accounting Principles
What is the difference between balance sheet and a statement of affair?
A balance sheet is a list that summarizes all financial information of a company. This includes liabilities (what the company owes) and assets (the company's economic resources). A statement of affairs, on the other hand, is specifically used by a debtor to show all of their assets and liabilities, usually for purposes of evaluating a case of bankruptcy.
Where do you put the accrued income taxes on the balance sheet?
Under the liabilities section of the balance sheet?
What are the classes of net assets?
The three classes of net assets are permanently restricted, temporarily restricted, and unrestricted.
What is a separate written record that is kept for each asset liability and equity account?
The vouchers form the basic record of accounting. Wherever it is possible the corresponding documents resulting in such entries are kept along with the voucher or separately in a file referring to the voucher number. These form the basic written record.
How do you verify fixed assets?
Fixed Assets are verified as a part of a complete audit which is advisable to do on a yearly basis. A full inventory not only of product but also of fixtures must be done as a part of this process.
What are the two major financial statement?
They are the Income Statement also known as Profit and Loss and the other one is the Statement of Financial Position also known as Balance Sheet.
Account recievable is a account that records the amount should be received . Accounts receivable are the short-term financial assets of a wholesaler or retailer that arise from sales on credit. This type of credit is often called trade credit. Terms of trade credit usually range from 5 to 60 days, depending on industry practice.
What are the Journal entries for a sale of subsidiary?
There are several important journal entries for the sale of a subsidiary. These include: Fixed assets, current assets, current liability, deferred tax liability, and goodwill.
What is a 'Motion for Statement of Particulars' as Prepared By Proscutor?
The document supplied by the prosecutor's offense in response to a request from the defendant or defendant's legal counsel or by order of the court that contains all the pertinent factual information concerning the crime for which the person(s) are charged. The motion is usually made by the defendant's legal counsel to be used to prepare the case for the defense. It is also used in appellate actions by the court if there appears to be a violation of the defendant's civil rights or other matter that would have a bearing on the outcome of an original trial.
Where to enter interest on note payable on a trial balance?
A Note Payable is a liability to the company and is listed under liabilities. This with any other account you find that is called a "payable" is a liability. A "payable" account refers to money owed by the company that has not yet been paid, but will be paid in the near future. These include anything from Accounts Payable to Wages and even Income Taxes Payable.
Just remember the key term is "payable", meaning owed but not yet paid.
What is current purchasing power accounting method?
What is current purchasing power accounting method
What is the journal entry to record an accrued commission?
debit commission receivable
credit commission income
instalment method
Where do you post unrealized gains and losses in Income Statement?
After you've worked out profit for the year create a new line called "Other Comprehensive Income". Under this put your "Gain/Loss on revaluation" or "Gain/Loss on available for sale investments". Then add on to/take it off your profit for the year to give you "Total Comprehensive Income For The Year".
What is financial statement that summarizes the revenues and expenses for a specific period of time?
income statement
What is the significance of financial statement and budget?
A financial statement needs to be prepared for all large companies as part of the Accounting Standards. It is a legal requirement to do so. It will provide a record of the financial position of the company, from which calculations can be made (i.e. ratios) which can be compared to former years to analyse how the company is doing financially.
The result of these ratios can aid in the preparation of budgets. Certain budgets need to be increased, other may need to be decreased or removed. With budgets it is important to compare budgeted cost to actual cost and analyse the variations to determine the efficiency of operations for the specific department or item that the budget was allocated for.
What are the basic function of accountant?
The basic functions of accounting are:
- Interpret and record business transactions.
- Classify similar transactions into useful reports.
- Summarize and communicate information to decision maker.
