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What else can I help you with?
What are the problems involving the time value of money?
We want to know the future value of cash invested or loaned today. We want to know the present value, or today's value, of cash to be received or paid at later dates.
What are the benefits of accelerated depreciation?
Presumably you mean when doing tax accounting. Depreciation is an expense. Expense lowers income, which lowers the tax payable. However, as the same amount of depreciation will be taken on an asset overall, accelerated only meaning a larger amount is taken quicker...in latter years the benfit reverses...that is the amount of book (or non accelerated depreciation) is higher than the accelerated one, and less tax expense is received. hence, the difference is to lower taxable income at first and increase it later...providing cash (less tax) sooner, and requiring more cash later. So the time value of the cash savings sooner is the real benefit.
What are benefits of benefits of depreciation?
Presumably you mean when doing tax accounting. Depreciation is an expense. Expense lowers income, which lowers the tax payable. However, as the same amount of depreciation will be taken on an asset overall, accelerated only meaning a larger amount is taken quicker...in latter years the benfit reverses...that is the amount of book (or non accelerated depreciation) is higher than the accelerated one, and less tax expense is received. hence, the difference is to lower taxable income at first and increase it later...providing cash (less tax) sooner, and requiring more cash later. So the time value of the cash savings sooner is the real benefit.
why does a profitable business have cash flow prablems?
Cash Flow measures how much cash comes in while what goes out. Although you can be profitable but if your cash comes after a long time, sooner or later you will run out of cash to produce more products and land up in cashflow problems.
Chapter III-the adjusting process?
If a company is using the cash-basis method of accounting, when is revenue recorded? A) When services are rendered, even though cash may be received at a later date B) When cash is received C) Only when cash is received before the completion of the services D) Only when cash is received during the completion of the services
A sale for which cash will be received at a later date is called a sale on account?
Yes or a Credit Sale
If you take cash value from a whole life policy do you have to claim the money as income?
If you take a loan against the policy, the amount you receive is not considered taxable. However, if you later surrender (cash-in) the policy, the amount you received in the loan and in the surrender will then be considered taxable income.
What is cash value?
It is the value or total of cash accumulating in the cash value account
What is cash accumulation value?
It is the value or total of cash accumulating in the cash value account
Describe cash received from cash sales?
accounting entry for cash received for the sales of office uniform
When cashing out a life insurance policy are cash value and net cash value the same?
The cash value of something is the value before taxes. Net or Netto cash value is after taxes.
Is Cash Discount received on cash sales?
Cash discounts are received on cash sales. The seller or provider often refers to the cash discount as a sales discount.
