6.Discuss the components in detail of the following financial statements for a manufacturing PLC: a. Statement of Profit or Loss (Income Statement) b. Statement of Financial Position (Balance Sheet) c. Statement of Changes in Owners’ Equity d. Statement of Cash Flows

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

6.Discuss the components in detail of the following financial statements for a manufacturing PLC:
a. Statement of Profit or Loss (Income Statement)
b. Statement of Financial Position (Balance Sheet)
c. Statement of Changes in Owners’ Equity
d. Statement of Cash Flows
7. Explain cost accounting and its functions as well the distinguishing features of cost accounting systems for (a) job order costing, and (b) process costing

Definition Definition Operation costing method employed to determine the value of a product at each process or stage of the production process, applicable where goods produced from a series of continuous operations or procedure. Process costing is employed by businesses that manufacture goods and where production is in repetitive inflow.

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