What are the effect of unclassified accounts in the financial statements to the stakeholders

Q: What is FASB Financial Accounting Standards Board?

A: It is an organization responsible for establishing and improving GAAP within the territory of the…

Q: Which one of the following statements is not correct regarding financial accounting and management…

A: Financial Accounting - This is a branch of accounting under which business transactions are recorded…

Q: The principles and objectives that guide the creation of accounting information under accrual…

A: The matching principle, which is related to accrual accounting, asserts that an expense must be…

Q: What is concern of external users of accounting information in GAAP?

A: Accounting information includes all financial statements like Balance Sheet, Income statements and…

Q: Who are some of the basic users of financial statements, and how do they use them?

A: There are many users of the financial statements produced by an organization. The following are the…

Q: The accrual basis of accounting record income when it is :

A: SOLUTION- ACCRUAL BASIS OF ACCOUNTING- IN THAT REVENUES ARE REPORTED ON THE INCOME STATEMENT WHEN…

Q: Explain the purpose of financial statement disclosures.

A: The purpose of Financial statement disclosures is to provide information about the financial…

Q: What is the relationship between accounting theory reporting and?

A: This question illustrates the connection between accounting theory and reporting.

Q: Discuss the inter-relationship of the financial statements.

A: Meaning of Financial Statements Financial Statements consists of income statement, Profit and loss…

Q: How are changes in accounting policies accounted for and disclosed?

A: Accounting policy: These are basically the rules, conventions and principles that are applied by the…

Q: Identify which of the following items are not included as part of general-purpose financial…

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Q: What is meant by the statement that the financial statementsarticulate ?

A: The statement “financial statements are articulated" means that measurements in the balance sheet…

Q: What exactly is intended by the statement that the financial statements make in their presentation?

A: Introduction: Financial statements are articulated because measures in the balance sheet are…

Q: What do the decisions based on accounting information include?

A: Accounting information is the collection and processing of the business transaction to conclude the…

Q: When are financial statements considered authorized for issue?

A: The monetary record date is the urgent date at which the monetary situation of a substance is…

Q: Which of the following does NOT define accounting? Concluding Recording Summarising Classifying

A: Accounting is the art of Recording, Summarising and Classifying the financial transaction or events.

Q: What is the difference between financial statements and financial reporting?

A: Financial statements and financial reporting are both belongs to the financial accounting but…

Q: Who are the providers of financial information? Name them.

A: Financial Information of any organization is provided in its financial reports. These reports are:…

Q: In addition to the financial statement elements arrayed in the basic financial statements, what are…

A: Definition: Financial Statements represent a formal record of the financial activities of an entity.…

Q: Why are financial statements prepared in a specific order? What is that order?

A: Definition:   Financial statements: Financial statements refer to those statements, which are…

Q: A recognition test assists with deciding whether items should be included in the financial…

A: Financial statements seem to be a set of summary-level statements that summarise an organization's…

Q: Explain the concept of going concern and the implication of revocation of going concern assumption…

A: Accounting concepts are the basic assumptions, rules and principles which work as the basis of…

Q: What are General Purpose Financial Statements and what are they used for? What are Financial…

A: Financial statements that are distributed to a large number of people are known as general-purpose…

Q: What is the purpose of reporting accounting theory?

A: This question explains about the purpose of reporting accounting theory

Q: Explain the following: How Generally Accepted Accounting Practices are utilized in financial…

A: Introduction:   Financial statements are documents that describe a company's operations and…

Q: What are the objectives of preparing financial statements?

A: Introduction:   Financial statements are written papers that summaries the commercial activities and…

Q: Explain the nature of the going concern assumption and its implications for the preparation of…

A: Going Concern Assumption: The going concern concept assumes that a company will continue to operate…

Q: Explain what are the elements of financial statements?

A: The elements of financial statements are as follows: Assets Liabilities, Equity, Revenues and…

Q: To deter To list: The items included in the definition of financial information and determine…

A: Introduction: Financial statements: A financial statement is a complete record of all financial…

Q: what is the Criteria for recognising the elements of the financial statements

A: Criteria for recognizing the elements of the financial statements The flow of Future economic…

Q: what are the difficulties may users of financial statements face it in using financial or accounting…

A: Accounting disclosure information: It is information that shows expenses and revenues of the…

Q: Why are disclosures important in financial statement and what are its benefits?

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Q: Is internal accounting information primarily historical orfuture-oriented? How does that compare…

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Q: Compare the essential features of each financial account statement to analyse the differences…

A: Journal-Journal is the original book of entry wherein financial transactions are recorded for the…

Q: Compare the essential features of each financial account statement to analyse the differences…

A: "As you have asked about the features, purpose and contents of financial account statements, I will…

Q: Why is the evidence provided by source documents important to accounting?

A: Source Document Source document are refer as the original record which contains the detail…

Q: Which of the following is not a component ofa complete set of financial statements?

A: A financial statement are formal record of all financial activities in a standard manner. Based on…

Q: Discuss the difference between the financial reporting system and general ledger system.

A: A general ledger, or GL, is a system for recording all of a company's financial transactions.…

Q: What are the limitations of the financial statements?

A: Definition:   Financial statements: Financial statements refer to those statements, which are…

Q: What is disaggregated financial information?

A:

Q: What are the usefulness of financial statements

A: >Financial statements are the public documents, and are prepared at the end of period as part of…

Q: What is GAAP, Generally Accepted Accounting Principles?

A: The Generally Accepted Accounting Principles (GAAP)is a set of rules used for helping…

Q: Distinguish between FASB Accounting Standards Updates and FASB Statements of Financial Accounting

A: Accounting Standards Updates: constitute GAAP and dictate acceptable financial accounting and…

Q: how is the feature of materiality and aggregation applied in the presentation of financial…

A: Preparation of Financial statement includes preparing of final accounts, preparing ratios, comparing…