Generally Accepted Accounting Principles

$28 million and its tax basis was $13 million. There were no other temporary differences and no permanent differences. Pretax accounting income for 2013 was $45 million.On January 1,

1.. A company earned $3,960 in net income for October. Its net sales for October were $22,000. Its profit margin is: 1.8%. 18%. 180%. 556%. $18,040 2. On June 30 of the current calendar year, Apricot Co. paid $8,200 cash for management services to be performed over a two-year period. Apricot follows a policy of recording all prepaid expenses to asset accounts at the time of cash payment. The adjusting entry on December 31 for Apricot would include: A debit to an

purchased for $960 on July 1, 20-1. On December 31, 20-1, it had an unexpired value of: a. $240. b. $480. c. $560. d. $400. e. none of the above. 2) The accountant did not prepare an entry to adjust the Supplies account at the end of the accounting period and, as a result: a. the Supplies account was overstated. b. the total expenses were understated. c. the net income was overstated. d. the

ASSIGNMENT 4 WEEK 3 SAMUEL GEORGE Financial Accounting / CHAPTER 4 | | | | | P4-1A | Thomas Magnum began operations as a private investigator on =anuary 1, 2008. The trial balance columns of the worksheet for THOMAS =AGNUM, P.I., INC. at March 31 are as follows.   | THOMAS MAGNUM, P.I., =NC. | Worksheet | For the Quarter Ended March 31, =008 |   | Trial Balance |   |   |   | Account Titles | Dr. | Cr. | Cash | 11,400 |   | Accounts Receivable | 5,620 |   |

issues raised by the transformation from U.S. Generally Accepted Accounting Principles (US GAAP) to International Financial Reporting Standards (IFRS) in the timber industry. I will cover the following topics: different accounting treatment under U.S. GAAP and IFRS, the influence on investment decisions, Plum Creek’s reason for the opposition against transformation, and conclude with my preferred accounting treatment under different roles. ACCOUNTING TREATMENT The concern is mainly on recognition

for 2010. a. Net loss of $15,000 b. Net loss of $20,000 c. Net loss of $25,000 d. Net income of $15,000 ANS: Q. The "rules" of accounting are called a. income tax regulations. b. SEC regulations. c. Internet rules. d. Generally Accepted Accounting Principles. ANS: Q. Which principle determines the amount initially entered into the records for purchases? a. Cost principle b. Going concern concept c. Business entity concept d. Objectivity concept ANS: Q. Expressing financial data as if a business

(superseded) The FASB Accounting Standards Codification® and the Hierarchy of Generally Accepted Accounting Principles is FASB Statement No.162’s replacement that was created in Jun, 2009 The Hierarchy of Generally Accepted Accounting Principles. Statement 168 that replaced Statement No. 162 is now the base of the U.S. GAAP authoritative that been accepted by the FASB to be controlled by non-governmental entities. The recent reporting standards and non-SEC accounting are replaced by this

Generally Accepted Accounting Principles (GAAP) and Financial Accounting Standards Board (FASB) exist to make financial reporting consistent while reducing fraud and material errors. Because GAAP guidance is crucial for public and private companies depend heavily upon it to make financial decisions. Through GAAP, the entity understands how to properly carry out the accrual accounting process and most importantly when to recognize revenue. However, what happens when GAAP guidance is not sufficient

Companies report their financial activities in four basic financial statements under generally accepted accounting principles (GAAP). The four basic financial statements are as listed below: 1. The balance sheet shows in a tabular form, the asset, liability and owners’ equity of a company, at a particular time. The assets of a company will always equal to the sum of liabilities and owners’ equity, this is called the accounting equation. i.e Asset = liability + Owners Equity 2. The income statement

AirThread Valuation of AirThread This case deals with the valuation of AirThread Connections Business (ATC) from the perspective of its potential acquirer, American Cable Communication (ACC). ACC is a large cable operator which serves the video, internet and landline telephony needs of millions of users across America. However it is recently looking to acquire ATC which is one of the largest wireless companies in the United States. This acquisition will bring with it certain synergies that both