Financial Statements

The cost/income ratio is an efficiency measure similar to operating margin. Unlike the operating margin, lower is better. The cost income ratio is most commonly used in the financial sector.

It is useful to measure how costs are changing compared to income - for example, if a bank's interest income is rising but costs are rising at a higher rate looking at changes in this ratio will highlight the fact.

The cost/income ratio reflects changes in the cost/assets ratio.

The cost income ratio, defined by operating expenses divided by operating income, can be used for benchmarking by the bank when reviewing its operational efficiency. Francis (2004) observes that there is an inverse relationship between the cost income ratio and the bank's profitability. Ghosh et al. (2003) also find that the expected negative relation between efficiency and the cost-income ratio seems to exist. The study shows that the cost-income ratio is negative and strongly significant in all estimated equations, indicating that more efficient banks generate higher profits.

It means you are expected to pay any remaining charges upon receiving the merchandise. Vendors often use this as the start of collecting interest, if they have to go after you for collection of the net.

Net income would decrease by 1,000,000 - would have no effect on cash flow.

It is an expenditure in order to upgread or capitalize the fixed asset .this can be expressed either by extending the future expected life or by capitalizing the fixed asset cost.

Yes, Cash received from issuance of new capital is cash flow from financing activities in cash flow statement.

Main purpose of balance sheet is to show the overall performance of business from it;s inception to till date.

the following data ere taken from the accouinting recoreds of ward pimports co. at theend of year 5. income taxes for the current year appilcation to ordinary income are birr 27600 . income taxs appilcabile to the extraordinary loss is birr28500,ward imports has 10000 shars of single class of capital stock outstanding.

cost of good sold------------------------------------820000

depercation exspenes-------------------------------30000

cash dividend declared------------------------------32000

exraordinary gain-------------------------------------35000

inusrance exespnes----------------------------------7000

sales----------------------------------------------------1200000

exraordinary loss-------------------------------------60000

salary exespnse--------------------------------------195000

retained eraining jan1,year5----------------------265000

other operatining expense-------------------------62400

rquired

perapared acompined statement of income and retained erainings for the year ended decmber 31 year5 ,use the singel stepfrom the revenue and exspense part of thestatement and provied eraining shares inforamtion nthe statement

true

Expense on the income statement. The COI or Merchandise Inventory is reported on the balance sheet as an asset.

Decrease in long term debt is cash out flow because long term debt decrease when cash payment is done and as cash goes out it is an outflow.

No.

Accounts receivable is the total amount people owe your business, a debtor and should be kept on your balance sheet.

The International Accounting Standard Committee (IASC) oversees the functions of the International Accounting Standards Board in the development of accounting standards that can be adopted by businesses operating in different countries. The goal of this project is to make it easier to compare the financial statements of a business in Country A with those of a business in Country B, providing more useful information to investors who are deciding which companies to invest in.

There are several journal entries that could be made for items purchased on discount. The journals for keeping tabs generally have categories for debit, credit, discount, and total.

The Statement of Cash Flows contains this information.

I'm not a tax person, but I'll share my experience: stockholder draws are how I pay myself from the profits of my corporation. I have two rolls with my corporation; as CEO, I'm an employee. As MS (Majority-Shareholder), I'm an investor. I can get "paid" with a paycheck every week, and be subject to social security and medicare and income tax witholdings, or I can simply draw on my investment as an investor. So I simply write a check to myself on my corporate account, write "stockholder draw" in the memo line, and deposit it into my personal account. I'm drawing on my share of the profits of the company. As an employee, I've never actually received a single "paycheck."

Keep in mind, you'll still need to pay taxes on your income from stockholder draws at the end of the year, which can hit pretty hard.

It is the traditional form of maintaining a business's financial accounts and records using a pen/ pencil and paper instead of using a computer spreadsheet.

the balance sheet formula is very hard to find

do you want the balance sheet with "fixed assets,current assets" then you are just gonna have to ask business teachers you know

try Google it(i know that's a common answer but no other way to get them so)

Debit accounts receivable
Credit sales revenue

As a rule land never depreciates. homes never depreciate unless left to ruin, mobile homes on the other hand depreciate like vehicles.

By smelling butts

In accounting terms furniture can be consider according to fixed assets, all furniture which can be used for business purpose like Almira, table etc

balance sheet of M/s combined industries relates to the year ended December 31/2000

An adjustment as the result of an IRS audit.

[Debit] cash 2600

Credit sales 2600

Deposited to bank

Debit Bank 2600

Credit Cash 2600