naked debenture
Q: What is the doctrine of continuity of business enterprise and continuity of proprietary interest?
A: A merger or acquisition refers to the transactions involving transfer or combination of ownership…
Q: Can another company that is not acquiring a company recognize unrecorded assets related to their…
A: Unrecorded Assets – These are the type of assets that are not recorded in the BS (Balance Sheet) of…
Q: What is the importance of asset based valuation in a business? Include subtopics like book value…
A: Asset based Valuation method is a financial technique used to evaluate the valuation of business in…
Q: In an S Corporation are the unit holders liable for busin
A: Yes, they are liable for business losses too if they fulfill these requirements.
Q: What are the possible actions when a business becomes insolvent?
A: Insolvency occurs when a person or business is unable to service the debt to lenders as debts come…
Q: Is it permissible to record additional depreciation on the assets, if they are still useful to the…
A: If the assets are still useful to the business then the organisation need to record the Asset and…
Q: True or False: Land used in a company's business operations is generally not depreciated.
A: Land is the only plant asset which is generally not depreciated because its useful life is…
Q: What is financial assets designated at FVOCI? Why does an entity used it? How?
A: Here discuss about the details of financial assets which was segregated fair value through other…
Q: (BUSINESS LAW) Provide a very clear and detailed introduction on the meaning of “REAL PROPERTY”…
A: REAL PROPERTY Real property is synonymous with Real Estate and it is the land, everything that is…
Q: Why should corporations have their real estate appraised on a regular basis?
A: Real estate is the property with the developments such as land and building, and the natural…
Q: What account is credited when a company receives donated assets? What is the rationale for this…
A: When a company receives donated assets and if the company is a for-profit company then 'Contribution…
Q: Relative to corporate formation, how can one contribute appreciated property without gaining…
A: Relative to corporate formation, how can one contribute appreciated property without gaining…
Q: It is legal and ethical to use one method of deprecia method on the company's financial statements.
A: True, it is legal and ethical to use one method of depreciation for taxes and another method on the…
Q: Only business expenses incurred in the generation of business gross income are deductible. a.…
A:
Q: Which of the following is a distinguishing characteristic of a nonbusiness organization? Select…
A: The Non business Organizations are the organizations that are formed and operated for the benefits…
Q: Under what conditions is it appropriate for a businessto use the composite method of depreciation…
A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…
Q: How should a prospective buyer examine the assets of a company? Explai
A: Answer: Assets of the company is examined such that to identify the financial position of the…
Q: Which of the following statements about depreciation is not true? a. Depreciation helps companies…
A: Depreciation is a reduction in value of tangible fixed non-current assets due to: Constant use Wear…
Q: When must a company recognize an asset retirementobligation?
A:
Q: The concept of capital maintenance chosen by an entity shall determine the accounting model used in…
A: The capital maintenance concept states that a corporation produces a profit only when all operating…
Q: How is the asset based valuation important in the business?
A: In case of mergers and acquisitions:: In the event that two companies are merging, or if a company…
Q: Can an entity include an asset in its balance sheet that it does not legally own?
A: An asset is a resource that is controlled by the entity from which future economic benefits are…
Q: Present an argument to support the idea that your company’s land should not be depreciated, even…
A: Depreciation is defined as the devaluation of the recorded cost of a fixed asset in a systematic…
Q: Explain the key steps in the acquisition method in accounting for business combination. Why Fair…
A: Business Combination- It is a situation when an entity acquires the business of other entity or…
Q: What is the fiduciary duty (i.e., the primary goal) for mostU.S. corporations?
A: Introduction: A fiduciary obligation is the highest level of treatment, where the one who owes these…
Q: 19 - What is the monetary expression of the rights of third parties lending to the enterprise over…
A: The question is multiple choice question. Required Choose the Correct Option.
Q: How long does an asset remain the most useful to the company? What do statutes and accounting rules…
A: Financial Accounting: It refers to the process of recording the financial transactions of the…
Q: For some of the fixed assets of a business, the balance in Accumulated Depreciation is equal to the…
A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…
Q: A benefit of a sole proprietorship is that liability is limited to that of the business financial…
A: A sole proprietorship is the simplest form of business that an individual can do or operate. It is…
Q: Why is it needed to reclassify financial asset when changing business model?
A: The question is related IFRS-9 "Financial Instruments". As per IFRS 9, reclassification is allowed…
Q: Is it necessary for a business to use the same method of computing depreciation for all classes of…
A: Every fixed asset like plant, machinery, equipment etc wears off over the period of time with use.…
Q: Why might the decision to own rather than lease real estate have an unfavorable effect on the…
A: Real estate investing: Real estate investing is defined as the acquisition of property as an…
Q: Sometimes the value spent by a corporation is recorded as an asset and sometimes as an expense. Find…
A: Following are the answers to the given questions
Q: What are the major types of divestitures? Whatmotivates firms to divest assets?
A: A divestiture or divestment is the disposal of the company’s assets or a through sale, exchange,…
Q: Which of the following is / are external indicator/s of impairment loss? Impact of legal environment…
A: The reduction or decline in the carrying worth of any asset due to its fair value can be referred to…
Q: How does a business decide which depreciation method is best to use?
A: The reduction in the value of an asset due to its continuous usage is referred to as depreciation.…
Q: How is a noncontrolling interest in the net income of an entity reported in the income statement?
A: Net income: The bottom line of income statement which is the result of excess of earnings from…
Q: List the general rules when a liquidates and distributes property to its shareholders.
A: Liquidation of company refers to the event that results in discontinuous of all the operations of…
Q: What does the word depreciation means to a business or individual and what are the various types of…
A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…
Q: How are losses allocated to S Corporation owners ?
A: S Corporation: As far as federal taxation is concerned, S companies are corporations that have…
Q: Describe the order of claimants and how it impacts the returns that various providers of capital…
A: Claimants refer to the creditors who are entitled to receive the payments, from the debtor…
Q: Is it neccessary for a business to use the same method of computing depriciation for all classes…
A: Meaning of depreciation:Depreciation is nothing but a decrease in the asset value due to wear and…
Discuss how naked debenture affects the usage of a business’s assets?
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- According to the business entity concept, nonbusiness assets and liabilities are not included in the businesss accounting records.If the personal assets of the owner is used for business transactions, what is the impact?Is it neccessary for a business to use the same method of computing depriciation for all classes of its depriciable assets?
- Explain the relative priority of the claims of owners and ofcreditors to the assets of a business. Do all creditors haveequal priority? Explain.The value created by a business is created by its assets. True or False?Which of the following is not considered in the determination of Total Assets after business determination? A. Book Value of the Acquirer's Total Assets B. Fair Value of the Acquiree's Total Assets C. Expenses that are actually paid in relation to business combination D. Contingent Consideration
- How does the type of business structure affect accounting, reporting, taxes, and liability?Which of the following would not explain the difference between current and non-current assets? A.The future benefit of current assets will generally be used up within the entity's operating cycle B.An expenditure is classified as a non-current asset if it is considered to be material C.The nature and intention of the business can help determine whether an expenditure should be classified as a non-current asset D.An asset is classified as non-current if it is intended to be used within the business for a considerable period of timeHow is the asset based valuation important in the business?
