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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.
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A receipt is a written acknowledgment of having received an item of a specific value. Most receipts or vouchers will have an outline of the purchase, the date of purchase, the value of the purchase and any/all information by the seller.
The term is actually reservation wage. This is the lowest payment a worker is willing to accept for a particular job.
How depreciation influences balance sheet and profit and loss statement?
Profit and loss sheet - show the depreciation for the current year only as an expense
Balance sheet - show the cost price of the asset less any accumulated depreciation from previous years and less the depreciation for the current year.
Hope this helps
What economic challenges does Dubai have?
Dubai has too much money and not enough to spend it on, so the economic challenge is to build as many 800m tall biuldings and extravagant man made islands as it can.There are more construction workers at the moment than actual citizens in Dubai.
bank lending is a process wereby money or fund is being given too some one or an orgnisation to be paid back in an agreed time
How does society benefit from the financial reporting process?
what is the process for reporting accidents?
Cash flows more important than profits?
1. Why are we interested in cash flows rather than accounting profits in determining the value of an asset?
What is the meaning of external party that interested in accounting information?
When an external party is interested in accounting information they could be interested in investing in the company. They want to make sure that the company is financially secure.
Scope of managerial accounting?
The scope of managerial accounting focuses on the financial aspects of the organization. This will include proper record keeping, balancing records and so much more.
What is the definition of tangible?
Tangible:
Meaning: Capable of being touched or felt.
Example: Paper, animals, rocks, etc.
Non-Example: 3D Image, and Love
~Ash/MagicalSomebody
If you don't know the answer to this question, then you obviously are not qualified to perform an audit (at least not a GAAP / GAAS / GAGAS, etc ). To answer question however, you would prepare an audit report which would be included in the financial statements, you would prepare a communication regarding internal controls to the board and you would also have a closing conference which would include the board and possibly management.
What is an accounting transaction?
An accounting transaction is the exchange of request/response messages to perform accounting. Accounting can be performed in the form of accounting transactions that report on resource usage by a session. Accounting transaction can occur during a session if accounting or charging indications are needed [pol based acct] or only at the start and the end of the session.
http://209.85.175.104/search?q=cache:EcDJEY4QjJAJ:www.aaaarch.org/doc09/session_id-29nov2000.doc+%22accounting+transaction+is+the%22&hl=id&ct=clnk&cd=2&gl=id A transaction is an execution of a user program and is seen by the DBMS as a series or list of actions.The actions that can be executed by a transaction includes the reading and writing of database.
Journal entry to record physical inventory?
To record the purchase of physical inventory:
Dr. inventory
Cr. cash
To record sale of physical inventory:
Dr. cost of goods sold
Cr. inventory
Outline the reasons for giving cash discounts?
Giving cash discounts helps introduce your product/service to a first time buyer who otherwise might not have tried what you had to offer due to pricing. Sometimes a discount pricing can trigger a buy regardless of the discount and impulse buying is another good reason for offering discounts.
What is the difference between capital reserve and reserve capital?
Capital reserve is a reserve created to deal with general, unspecified contingencies such as inflation. It is a fund set aside for the specific purpose and can not be distributed for other uses. Normally it is legally not distributable as dividends to shareholders
Reserve Capital is the part of the Authorised capital which is not yet called up
Is a 5 Year Certificate of Deposit a Fixed Asset?
No. As long as it can be cashed in at any time, it is still liquid and therefore a current asset. If it cannot be cashed in before maturity, it would be classified as Other Non-Current Assets.
A petty cash book is a book of vouchers which are prepared each time a disbursement is made from petty cash. The voucher would show the date, amount, recipient, purpose and general ledger account number relating to the expense. The person giving out the petty cash and the person receiving the petty cash would sign the voucher and any supporting documentation (such as receipts) would be attached.
What is current asset in accounting?
All those assest which are convertable within one accounting period is konow as current assest. such as, Cash, Bank Balance.Account, prepaid etc
When do you use a discounted cash flow and a future cash flow?
You use it when you want a more accurate valuation of an asset or business. A Discounted Cash Flow analysis (DCF) is performed to project the present value of future cash flows. A single, current year of operations is studied to determine the net operating revenue (Income minus recurring expenses). That year is the extrapolated forward for a holding period (5 years, 10 years). Each of those years are added together and then "discounted" (the opposite of compounding) at an arbitrary rate factoring in the risks associated with collection of future cash flows (inflation, true cost of equity and debt, risk of interruption in cash flow, the unknown) That calculation provides the net present value of the cash flow. If the discount rate you used yields a value greater than the initial equity, the deal is positive. If the discount rate is recalculated upward so that the net present value and the initial equity are equalized, (no longer being greater but matched) the resulting recalculation number is your internal rate of return. (IRR)
