What are the positives and negatives of each? Is it legal for an organization to keep two sets of accounting records; one for tax and one for book? Why or why not? What transactions might fall under a dual method? When is the trial balance prepared?
Normally, a reconciliation is required between the proprietary fund financial statements and the business-type activities column in the government-wide financial statements. C. Statements include the Statement of Net Assets (Balance Sheet); Statement of Revenues, Expenses and Changes in Fund Net Assets: and Statement of Cash Flows. D. The Statement of Cash Flows may be prepared using either the direct or indirect methods. 7. Which of the following choices regarding the fiduciary fund financial statements is true?
d. Business entities will need far less assistance from accountants because the financial reporting process will be quite easy to apply. 26. In the conceptual framework for financial reporting, what provides "the why"--the goals and purposes of accounting? a. Measurement and recognition concepts such as assumptions, principles, and constraints b. Qualitative characteristics of accounting information c. Elements of financial statements d. Objectives of financial reporting 27.
d. Business entities will need far less assistance from accountants because the financial reporting process will be quite easy to apply. 26. In the conceptual framework for financial reporting, what provides "the why"--the goals and purposes of accounting? a. Measurement and recognition concepts such as assumptions, principles, and constraints b. Qualitative characteristics of accounting information c. Elements of financial statements d. Objectives of financial reporting 27.
Your initial post should be 200-250 words and your example should be properly cited according to APA as outlined in the Ashford Writing Center. Job Order Costing vs. Process Costing. Explain the similarities and differences between job order costing and process costing. In your explanation, provide examples of when job order costing and process costing would be most appropriate.
By using this setup also gives them the opportunity to communicate with the other locations and to keep track of product and monies at all locations. Technology being so advanced today no business should use the process of manually keeping track of payroll, orders, and etc. because at times it is easy for human error which could cost the business money that was not necessary. Kudler’s can account for everything that involves their business by following this setup and also will keep them up-to-date with product and tracking. References Inventory Control Software: Improve Your Inventory Management.
Going concern principle: The rule that requires financial statements to reflect the assumption that the business will continue operating instead of being closed or sold, unless the evidence shows that it will not continue. Objectivity principle: The accounting guideline that requires financial statement information to be supported by independent , unbiased evidence rather than someone’s opinion; objectivity adds to the reliability, verifiability, and usefulness of accounting information. Cost principle: The accounting principle that requires financial statement information to be based on actual costs incurred in business transactions; it requires assets and services to be recorded initially at the cash or cash equivalent amount given in exchange. Revenue recognition principle: Provides guidance on when revenue should be reflected on the income statement; the rule states that revenue is recorded at the same time it is earned regardless of whether cash or another asset has been exchanged. Business Organizations Single proprietorship: A business owned by one individual, which is not organized as a corporation; also called a sole
It will help the management to judge reasons for losses and help to control it. It will discourage employees from committing frauds. Bankers can place reliance on audited financial statement while making decision about credit worthiness of loan applicants. Audited statements enhance the reliability of computations of income earned by entity, thus help in determining income tax. In addition, prospective investors, on the basis of past years audited financial statements, can device the expected profits trends for deciding whether to invest in the entity or
The objective of an audit of financial statements is to enable the auditor to express an opinion whether the financial statements are prepared, in all material respects, in conformity with an identified financial reporting framework of Generally Accepted Accounting Principles. In essence, materiality should function as a cut-off threshold to determine the nature of the audit testing. Auditors should not reveal its materiality level to clients because clients might take advantage of it to deceive the auditors and make its financial statement better. When the Deloitte auditors are suspicious of certain accounts, they not only can’t reveal it but also make more substantive investigation into these accounts. Question 4: Existence: the
How are the two statements related? Are Krispy Kreme’s financial statements exact? Does management have any discretion over how those accounts are estimated? Financial statements give information on the financial activities of an enterprise. Income statement, or profit-and-loss statement, measures flows of costs, revenue, and profits over a defined period of time.