Define Non-current assets

Q: A financial analyst at BETTO, S.A. is analyzing the result of the sale of a vehicle for85,000 Argent...

A: Gain or loss will be calculated after considering the depreciation for three years and finding out t...

Q: Compared to using the FIFO method to account for inventory, during periods of risingprices, a compan...

A: USING OF LIFO METHOD

Q: What is the present value of end-of-year cash flows of $1,000 per year, with the first cashflow rece...

A: Given information: Cash flow of $1,000 received end of the year Interest rate is 12% per annum,

Q: Your accountant has conviced you that you should invest your bonus from this year into your retireme...

A: The accountant in such scenario is advising to invest rather than to consume as the returns on inves...

Q: Identify and explain the major factors in the social environment that create an atmosphere in which ...

A: The social environment consists of beliefs, practices, behavior, and customs of society. In today's ...

Q: Suppose you are 30 years old and would like to retire at age 60. Moreover, you would like to have a ...

A: Present Value of annuity = P* [{(1+r)^n-1}/r] Where, Present Value of annuity = 350000 P = Annuity a...

Q: Describe the revaluation model.

A: Introduction: The revaluation model stretches a business the option of carrying a fixed asset at its...

Q: On January 1, 2021, Water World issues $26 million of 7% bonds, due in 10 years, with interest payab...

A: A coupon bond is a financial instrument that entails receipt of periodic payments, i.e. a periodic c...

Q: McCormick & Company has decided in order for the company to have a minimal impact on current cas...

A: 1) Calculate the loan amount as shown below: Hence, the loan amount is $3,096,800.

Q: MARU S.A. de C.V., a Mexican corporation that follows IFRS, has elected to use therevaluation model ...

A: Revaluation of assets means revaluing the asset from its cost to fair value as on different reportin...

Q: To properly assess a company’s past performance, an analyst requires:A . high earnings quality.B . h...

A: Quality of financial reporting is important it pertains to the quality of information contained in f...

Q: An analyst has collected the following information regarding a company in advance of its year-end ea...

A: Retained earnings (RE) is the amount of net income left over for the business after it has paid out ...

Q: What is the present value of end-of-year cash flows of $1,000 per year, with the first cashflow rece...

A:

Q: Define Credit analysis

A:    Credit analysis is the method by which the creditworthiness of a business or organization is eval...

Q: Zimt AG uses the FIFO method, and Nutmeg Inc. uses the LIFO method. Compared tothe cost of replacing...

A: If a company follows FIFO method, then the inventory will go based on first in first out. If a compa...

Q: Which combination of depreciation methods and useful lives is most conservative in the year a deprec...

A: According to the conservative approach, the depreciation expense will be reported higher and profit ...

Q: Calculate issue price of T-bills if the nominal value is 100,000 TL, interest rate % 12 andmaturity ...

A: Price of T-bill is calculated by the following:

Q: Low quality earnings most likely refl ect:A . low-quality fi nancial reporting.B . company activitie...

A: B is correct.     

Q: describe the International Accounting Standards Board’s conceptual framework, including the objectiv...

A: International Accounting Standards Board (IASB) is the organization that was created in 2001 with an...

Q: An analyst has calculated a ratio using as the numerator the sum of operating cash fl ow, interest, ...

A: The interest coverage proportion is a debt ratio that defines how quickly a business can pay interes...

Q: Exon Mobil Corp just paid four quarterly dividends of $.90 each. Investors require a 9% return. You ...

A: Expected dividend = Number of quarters*Quarterly dividend Expected dividend = 4 *$0.9 Expected divid...

Q: Consider the stock of Davidson Company that will pay an annual dividend of $4 in thecoming year. The...

A: Given information: Annual dividend is $4 Dividend growth rate is 4% Required return rate is 10%

Q: analyze disclosures relating to deferred tax items and the eff ective tax rate reconciliation,and ex...

A: Disclosures relating to deferred tax items can provide valuable information to the analysts. But the...

Q: For fi nancial assets classifi ed as trading securities, how are unrealized gains and lossesrefl ect...

A: Trading securities are debt or equity assets that management expects to aggressively sell for gain i...

Q: Your parents will retire in 18 years. They currently have $250,000 saved, and they think they will n...

A: The present value is the value of the sum received at time 0 or the current period. It is the value ...

Q: Your company has a ROE of 18.5 which is very good for your industry. The company has an equity multi...

A: under dupont model         RETURN ON EQUITY = NET PROFIT MARGIN * TOTAL ASSETS TURNOVER * EQUITY MUL...

Q: Bias in revenue recognition would least likely be suspected if:A . the fi rm engages in barter trans...

A: The revenue recognition concept means that one should  write down revenue only when it has been earn...

Q: Thank you

A: Duration is the period required to recoup the amount invested in the bond. 

Q: Ratios are an input into which step in the fi nancial statement analysis framework? C . Analyze/inte...

A: Ratio analysis is a quantitative approach of looking at the financial statements such as the balance...

Q: Credit analysts are likely to consider which of the following in making a rating recommendation?A . ...

A: Credit analysts are professionals who are appointed by credit rating agencies or any investment bank...

Q: Define Total comprehensive income

A: Comprehensive income includes both net income and unrealized income or losses on financial derivativ...

Q: Now that McCormick & Company has secured the land for the new factory through a loan, now it is ...

A: 1) Capital Asset pricing Model is used to determine the minimum required return on the stock. It con...

Q: Discuss how businesses go public and continue to grow

A: The main objective of the business is to maximize the shareholders’ value. The business or any corpo...

Q: Orange Beverages Plc., a fi ctitious manufacturer of tropical drinks, reported cost ofgoods sold for...

A: Purchases = Cost of goods sold - decrease in inventory Purchases = $100 million - $6 million Purchas...

Q: If a company uses the fair value model to value investment property, changes in the fairvalue of the...

A: Under the fair value model, remeasuring of investment property is made at the end of each reporting ...

Q: Define Income tax paid

A: Income tax paid is a charge or payment made to the government by the individual or the firms in a pa...

Q: evaluate the impact of tax rate changes on a company’s fi nancial statements and ratios;

A: Changes to the income tax rate can significantly impact a company’s financial statements and the fin...

Q: Solve this early but correctly.  Note:-typed or handwriting answer only. not solve in excel works.

A: Given data; Future value of annuity = $2000 interest rate = 5.1% number of years = 5  frequency of p...

Q: If Karp had used FIFO instead of LIFO, the amount of inventory reported as of31 December 2009 would ...

A: FIFO (FIRST IN FIRST OUT )

Liquidity Risk Exposure

Answer: c