Which one of the following is used in the determination of the financial position of an entity? O A. Provision for bad debts adjustment (increase) O B. Accumulated depreciation O C. Stationery O D. Interest on overdraft

Which one of the following is used in the determination of the financial position of an entity? O A. Provision for bad debts adjustment (increase) O B. Accumulated depreciation O C. Stationery O D. Interest on overdraft

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 13MC: Which of the following would be included in the financing section? A. loss on sale of investments B....

See similar textbooks

Related questions

Q: Why is depreciation provided on non-current assets? a. so that the business entity concept is…

A: Depreciation means the loss in value of assets because of usage of assets , passage of time or…

Q: The following statements relate to the depreciation of property, plant and equipment. Which…

A: Lets start with basic understanding. Depreciation is a reduction in value of asset due to wear and…

Q: Which statement is incorrect regarding presentation and disclosure of financial assets? a.…

A: Solution: The incorrect statement regarding presentation and disclosure of financial assets " The…

Q: PFRS 9, Financial Instruments deals with the measurement and classification of which of the…

A: Financial Instruments deal with the measurement and classification of financial assets, Financial…

Q: 9. Which of the following statements is correct? The term non-current assets įncludes tangible,…

A: As per our protocol we provide solution to one question only but you have asked multiple questions…

Q: purpose of recognizing depreciation on the financial statements? Is it designed to report PPE at…

A: Property, plant, and equipment (PPE) are long-term assets that are crucial to business operations.…

Q: Which of the following would trigger a subtraction in the indirect operating section? A. decrease in…

A: The correct option is B that is, gain on sale of investments as it is a non-operating gain that is…

Q: Which of the following would NOT be reflected in the income statement?

A: Income statement- it is a part of financial statements prepared by the company that shows the…

Q: Which of the following statements about IFRS and U.S. GAAP accounting and reporting requirements for…

A: Similar features of balance sheet in IFRS and GAAP: GAAP encourages private firms to produce these…

Q: not a correct classification of assets in the statement of affairs

A: In the statement of affairs, assets are classified according to the nature of pledge created on them…

Q: Hi please assist

A: The accounting is based on various concepts such as historical concept, Materiality, conservatism,…

Q: To be reported as “cash and cash equivalent”, the cash and cash equivalent must be a. Unrestricted…

A: The term cash and cash equivalents consist of two terms Cash which means cash in hand and demand…

Q: Which of the following journal entries correctly reflect settlement date accounting? Select one: a.…

A: In case of settlement accounting, transactions have to be recorded in the books of accounts of the…

Q: On a company's balance statement, why are fixed assets depreciated?

A: Fixed asset: It can be defined as a tangible asset that is used by the business in its production…

Q: When it is probably that future economic benefits associated with an asset will flow to the entity,…

A: Accounting standard 1 deals with the disclosure of accounting policies which states that the company…

Q: How are assets to be reported when the liquidation basis of accounting is being applied?a. At cost…

A: Assets cannot be reported at its fair value, book value (cost less accumulated depreciation), or…

Q: What is the term for allocation of fixed assets to expense? * O bad debts expense O depreciation…

A: Introduction: Fixed Assets: The benefits from the assets are having more than one year called as…

Q: Explain what is meant by the term “Impairment” in relation to Non-Current assets and explain its…

A: Asset is impaired if its extended future incomes are not as much as its current conveying esteem. An…

Q: The accounting treatment for depreciation expense in the balance sheet will be: a. Added to the…

A: Solution: Depreciation is charged on non current assets like equipment, building, vehicle etc. It is…

Q: Which statement is incorrect regarding presentation and disclosure of financial assets? Group of…

A: Solution: The incorrect statement regarding presentation and disclosure of financial assets is "The…

Q: Which of the following statement is correct regarding accounting changes that result in financial…

A: Introduction:- The following statement is correct regarding accounting changes that result in…

Q: a correction in the calculation of earnings per share of a prior period a material difference…

A: Prior period adjustments are adjustments made to periods that are not current but have already been…

Q: If the going concern assumption is not made in accounting, discuss the differences in the amounts…

A: Financial statement: A formal record of business transactions that record, analyse, and summarize…

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: RSV Co reports only current assets and current liabilities on its balance sheet. Property, plant and…

A: Accounting assumptions and concepts are a set of standard rules prescribed by the financial…

Q: Which of the following is accounted for as a change in accounting policy? A. A change in the…

A: Change in Accounting Policy means switching from one typebod GAAp method to another Type of GAAP…

Q: Which of the following is most likely to be a non-adjusting event? * A major customer liquidates its…

A: Non-Adjusting Event: When an event occurs that is not an adjustment to the financial statements, it…

Q: Which one of these statements is true of the accumulated depreciation account? O the account is to…

A: Accumulated depreciation is the total of depreciation applied on a fixed asset on a particular point…

Q: Which of the following are examples of changes in the gross carrying amount of financial instruments…

A: Here topic related with the credit risk management practices. It is important for the entity to…

Q: A statement of affairs measures a deficiency – traceable to unsecured creditors without priority –…

Q: Which accounting concept is applied when an entry is made for bad debts? A. Going-concern B.…

A: The accounting is based on various defined principles.

Q: Distinguish the difference between Bad Debts and Provision for Doubtful Debts, indicating the…

A: When a account receivable is clearly identified as the amount will not be received then such account…

Q: Revaluation account is normally not credited with which of the following items: Increase in the…

A: Revaluation account is usually prepared to report the variations in the worth of assets and…

Q: A) Differentiate between the ‘definition of assets’ and ‘recognition criteria of assets’ provided in…

A: ‘’Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Which of the following statement is correct about the statement of affairs?

A: choice questions kindly resubmit remaining question. Companies whenever went for the liquidation…

Q: 1(a) State with reason whether the following statements are true or false (i) Change in Method of…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: The aounts reflected in the statement of financial position do not reflect the liquadation value of…

A: Statement of financial position means financial statement which shows position of all assets and all…

Q: At the time of dissolution of the which one of the following account has to be prepared for…

A: As per Indian Partnership Act, 1932 : "Dissolution of firm means termination of partnership among…

Q: Bad debt expense is normally reported on the income statement as a(n) a. Operating expense b.…

A: An expense that is recognized as a receivable is no longer collectable is known as a bad debt…

Q: Which statement is incorrect regarding presentation and disclosure of financial assets? Group of…

A: Option (c) i.e. FA@AC shall be presented as noncurrent is the answer. Explanation is given in next…

Q: Under what circumstances under PFRS 9 can an entity classify financial assets that meet the…

A: PFRS 9 includes 3 main components. (1) Requirements for recognition, Classification of Financial…

Q: When using the allowance method, failure to record bad debt expense would have what effect on the…

A: Failure to record Bad Debt expense (Direct impact): Expense (Bad debt Expense) understates…

Q: Choose the best accounting treatment for each of the following items. Change from straight-line to…

A: The change in accounting is either changed prospectively or retrospectively. Prospectively means…

Question

Hi please assist

Which one of the following is used in the determination of the financial position of an entity?
O A. Provision for bad debts adjustment (increase)
O B. Accumulated depreciation
O C. Stationery
O D. Interest on overdraft
Previous page

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Which of the following would be included in the financing section? A. loss on sale of investments B. depreciation expense C. increase in notes receivable D. decrease in notes payable
What is the impact on the accounting equation when a sale occurs? A. both sides increase B. both sides decrease C. only the Asset side changes D. neither side changes
What are the effects of the following transactions on the accounting equation? Indicate an increase (+) or decrease () under the affected asset, liability, and owners equity headings.
Also known as the historical cost principle, ________ states that everything the company owns or controls (assets) must be recorded at their value at the date of acquisition. A. revenue recognition principle B. expense recognition (matching) principle C. cost principle D. full disclosure principle
Unusual income statement items Assume that the amount of each of the following items is material to the financial statements. Classify each item as either normally recurring (NR) or unusual (U) items. If unusual item, then specify if it is a discontinued operations item (DO). a. Interest revenue on notes receivable. b. Gain on sale of segment of the company's operations that manufactures bottling equipment. c.Loss on sale of investments in stocks and bonds. d. Uncollectible accounts expense. e. Uninsured flood loss. (Hood insurance is unavailable because of periodic Hooding in the area.)
Which accounting concept is applied when an entry is made for provision for bad debts? A. Going- concern B. Materiality C. Accruel D. Historic cost
Which accounting concept is applied when an entry is made for bad debts? A. Going-concern B. Materiality C. Accruel D. Historic cost
Which of the following would NOT be reflected in the income statement? Group of answer choices A.Correction of an error in previously issued financial statements B.Loss on disposal of a segment of a business C.Cumulative effect of a change in depreciation methods D.An extraordinary item
Choose the correct. How are assets to be reported when the liquidation basis of accounting is being applied?a. At cost less accumulated depreciation.b. At the estimated amount of cash to be received.c. At fair value.d. At the lower of cost or market value.
1. How to determine whether a company's assets have been overstated using only its financial statements? Provide concreate answers with examples
All else being equal, if a company FAILS to record an impairment loss on a depreciable asset at the end of the accounting period, what is the overall net effect on net income and the balance sheet equation for that period? Item Net Income Assets Liabilities Owners’ Equity A. Overstated Understated No effect Understated B. Overstated Overstated No effect Overstated C. No effect No effect No effect No effect D. Understated Understated No effect Understated E. Understated Overstated No effect Overstated
When a company changes from the straight-line method of depreciation for previously recorded assets to the double declining balance method, which of the following should be reported?Cumulative effects of change in accounting principle, Pro forma effects of retroactive applicationa. No Nob. No Yesc. Yes Yesd. Yes No