Define subsidiary

Q: related party transactions

A: Option a is wrong because the outstanding balance with the related parties and their terms and…

Q: Define special purpose entity (SPE)

A: A special purpose entity is a legally separate enterprise that bears liability to an organization.…

Q: Define commodity IT asset.

A:

Q: Define carried interest

A: Carried interest: It could be a portion of any profit that private equity and hedge reserves common…

Q: Define each of the following terms:a. Agent; principal; agency relationship

A: Answer: Agent: An agent is one who provides work on principal’s behalf.  Principal authorizes agent…

Q: Retained Eamings Statement

A: Retained earnings is the part of profits retained with the entity without distribution to…

Q: Define corporation

A: Corporation is a legal entity separate from its shareholders. Just like an individual, a corporation…

Q: Define Economic entity assumption.

A: Economic entity assumption is an accounting principle that separates the  transactions carried out…

Q: Define Subsidiary ledger.

A: General ledger: General ledger refers to the ledger that records all the transactions of the…

Q: A Company owns

A: These are the accounting transactions that are having a monetary impact on the financial statement…

Q: Explain principal (agency relationships)

A: Answer: Agent: An agent is one who provides work on principal’s behalf.  Principal approves agent to…

Q: Define contract assets.

A: Definition:   Assets: These are the resources owned and controlled by business and used to produce…

Q: What is AB Share Mechanism and what is this mechanism used for?Provide Example

A: An organization's total capital is bifurcated into many units. Each unit represents ownership in the…

Q: Define acquiring company

A: The acquisition means when one company buys the more than 51% stake in another company. Companies…

Q: Define rights offering

A: A rights offering is an offer made by a Company to issue additional stock to the existing…

Q: Subsidiary ledger

A: Ledger Account The purpose of preparing the ledger account to know the ending balance which are…

Q: Define Franchise.

A: There are several forms of business like the sole proprietorship, partnership and corporation which…

Q: Define the term contract assets.

A: Assets: These are the resources owned and controlled by business and used to produce benefits for…

Q: What are the three major OE/S processes and what are the subsidary processes of  each major process?

A:

Q: Define regulation D

A: The Accounting Standards are specific set of principles and procedures set by the authorized bodies…

Q: Define underwritten arrangement

A: Underwritten arrangement is the type of arrangement between investment banker and company in which…

Q: What is incorporation by reference?

A: Securities and Exchange Commission (SEC):   The board which set rules for the companies for…

Q: What is understood by Incorporation by reference?

A: Securities and Exchange Commission (SEC):   The board which set rules for the companies for…

Q: Differentiate between primary and secondary markets.

A: Primary market is a market where shares and securities are created and sold for the first time.…

Q: Define the term operating activities.

A: Operating activities are the functions of a business directly related to providing its goods and/or…

Q: Define Share Issue Costs.

A: Share:   It represents the unit of ownership interest in a corporation. A capital of a company is…

Q: Define the term subsidiary accounts.

A: Definition:   Account: Account is the basic record that reports all changes in the value of…

Q: Define the term Acquisitions.

A: An acquisition is when one company purchases most or all of another company's shares to gain control…

Q: Define collection policy

A: Introduction: A mutual responsibility between the operating departments, accounts receivables is to…

Q: Define revenue-producing assets.

A: Current assets: The assets which could be converted into cash within one year like accounts…

Q: Define S corporation

A: The S corporation is a tax election that legal business entities can choose to elect for taxes…

Q: Define vested

A: Vested in simpler terms means to confer or bestow power, the authority on someone. In commerce and…

Q: Explain consignment arrangement with example.

A: Goods in transit: Goods in transit can be described as the inventories which are shipped by the…

Q: Define Proprietorship

A: A form of an organization where a single person is the owner and controller of the business is known…

Q: Define service sector.

A: Service Sector: The service sector produces intangible goods, more precisely services instead of…

Q: Define underwriting syndicate

A: An underwriting syndicate is headed by a bank known as the lead underwriter. It is a group of banks…

Q: Define revenues

A:

Q: Define principal

A: Principal can refer to an amount of money you invest, the face amount of a bond, or the balance you…

Q: Define Transaction exposure

A: Transaction exposure is the sensitivity of realized domestic currency values of the firm's…

Q: Define patents.

A: A patent is the granting of a property right by a sovereign authority to an inventor. This grant…

Q: Define the term Principles of Consolidation.

A: To solidify (solidification) is to join resources, liabilities, and other monetary things of at…

Q: Define Quasi reorganization.

A:

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.