A difference in reporting on the balance sheet for a for profit business and a Not-for-profit entity is that current assets and current liabilities are reported in the for-profit sector and the parallel accounts in not for profit are found in:

Q: Activities of a general purpose government that provide the basis for GASB's financial accounting…

A: Accounting: It is the process of recording, classifying, summarizing all transactions of a business…

Q: Which of the following accounting rules apply to all not-for-profit organizations? (Select all that…

A: Not-for-Profit organizations are formed for the purpose of social cause, environmental cause,…

Q: Statement I: Under accrual accounting the computation of the entity’s net income is by deducting the…

A: Under accrual accounting, expense are recognized even if they are not actually paid and income is…

Q: Under the modified accrual basis of accounting, expenditures generally are not recognized until: a.…

A: As per the Accrual concept, expenditures are recorded in the books of accounts when they are…

Q: A forprofit business has a focus on profit and loss and follows GAAP regulations A government entity…

A: GAAP - Generally accepted accounting principles (GAAP), They refer to a common set of accounting…

Q: Which of the following statements is prepared by all not-for-profit organizations? a. b. C. d.…

A: Not for profit organisations are those organisations for which main motive is not to earn profits…

Q: Why is an entity permitted to change an accounting policy? a. The change would allow the entity to…

A: Accounting policy is the rule or method which is adapted by any entity according to the accounting…

Q: The profit or loss of the entity based from its current operation is required, under IAS 1…

A: Solution: Following are the four basic financial statements of the company: 1. Statement of…

Q: When reviewing the financial statements and supporting notes of a reporting entity, is it possible…

A: Statement of changes in equity is a part of financial statements in which the transactions related…

Q: Multiple choice:  The accrual basis of accounting is used to account for revenues and expenditures…

A: Following is the answer to the given question

Q: Insurance expense Office expense Supplies expense Real estate and payroll taxes Depreciation expense…

A: Expenses are those cash outflows which is done for earning revenue. It is part of Income Statement.…

Q: Which of the following accounting methods is commonly used for recognizing income and expenses in…

A: Accounting methods refer to the systematic and consistent procedures used by businesses to record,…

Q: Which of the following accounting methods is commonly used for recognizing income and expenses in…

A: Accrual basis accounting is the most common accounting method used for recognizing income and…

Q: Generally accepted accounting principles (GA P) has been developed to:   Select one: A. interprets…

A: GAAP means those principles which has been followed globally and accepted every where. GAAP stands…

Q: Which of the following isNOT RUE the Statement of Financial Position and the Profit and Loss…

A: Financial statements are prepared by an entity with a view to evaluate the different aspects of…

Q: Setting accounting standards by the private sector is

A: The common law is developed on the basis of the particular case. It represents the development of…

Q: Accountants use reserve accounts for various reasons, for each of the cases below describe a…

A: Uses of reserves

Q: be viewed as a going concern C. The financial statements are reliable D. Accounting policies are…

A: Only items that fit the definitions of an asset, a liability, or equity are recognised in the…

Q: Compare and contrast the following terms as used in public sector accounting   1. Cash Basis of…

A: Accounting is the process which involves the recording of transactions, posting them into ledgers,…

Q: Please answer with reason why the option is correct and why remaining options are incorrect Which of…

A: Organization- An organization is a group of people who work together to achieve a common goal or…

Q: An entity presents an analysis of expenses using a classification based on: Group of answer choices…

A: In accordance with PAS 1, An Expenses recognized in Statement of profit or loss should be analyzed…

Q: Is it true or not? An entity shall prepare all its financial statements, except the statement for…

A: An organisation can report revenue before obtaining payment for the products or services sold and…

Q: Financial reporting depends on the needs of external users of the information reported. Who are the…

A: Financial reporting is done and provided by all types of companies irrespective of the industry in…

Q: Accounting estimates are those adopted by an entity in preparing and presenting its financial…

A: Explanation: Accounting estimates is a approximate amount that is used for measurement when there is…

Q: That a business may only report activities on financial statements that are specifically related…

A: Accounting concepts are those rules and regulations which are used for the purpose of accounting and…

Q: As per the definition of revenue stated by IFRS15, which of the following statements is correct?

A: The income statement includes revenues and expenses incurred by the business.

Q: The financial statements of an entity can be regarded as meaningful when OA. The statement of…

A: Financial statements are considered meaningful when they provide relevant financial information…

Q: The following statements relate to analysis of expenses in the income statement based on either the…

A: PAS are Philippine Accounting Standards PAS 1 -  Presentation of Financial Statements.

Q: In cash basis accounting, for tax purposes: a.Income is generally recognized when it is actually or…

A: There are two types or forms of accounting, that are used. These are cash basis accounting and…

Q: In preparing GAAP-based financial reports, nonprofit organizations must present their expenses by…

A: All the Non profit organizations in the USA are required to express their expenses based on  their…

Q: What financial statements are not for profit organizations required to issue? Compare them to what a…

A: A nonprofit organization (NPO) is an organization that is not motivated by profit but rather by…

Q: The elements of financial statements include investments by owners. These are increases in an…

A: Net asset is also called as equity because it is calculated as assets minus liabilities of the…

Q: NFP Document tement of Financial ition tement of Activities Purpose of the Report Similar to Which…

A: Statement of financial position :     It is one of the important financial statement, also known as…

Q: Proprietary Funds account for financial resources segregated to pay principal or interest on…

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

Q: Which pronouncements are not issued by the FASB? a. Statements of Financial Accounting Concepts b.…

A: FASB is an accounting standard board, the main purpose of which is to establish the GAAP (Generally…

Q: Expenses are recognized and matched against revenues on the basis of three principles. Which is not…

A: Cash flows represents the cash receipt and cash provided by the company during its operations. The…

Q: Which of the following is deductible as interest on Schedule A? a.Subscriptions to professional…

A: Answer Schedule A is for itemized deductions.it contains medical and rental expense, contribution…

Q: Which of the pairings below related to measurement focus and basis of accounting is correct for the…

A: Solution Nonprofit entities measurement focus is economic resources.  Nonprofit entities missions…

Q: Balance Sheets show the Flow of Assets and Liabilities between one accounting period and another.…

A: Answer:- True Explanation:- Balance sheet is one of the most important financial statement of an…

Q: According to the principle of Conservatism it is defined that when There are many ways to determine…

A: Principle of conservatism is a principle which lets the company to play safely means the income…

Q: AS I required that an entity prepare its financial statements (except cash flows statement) using…

A: Solution Concept IAS 1 is the standard related to presentation of the financial statements It…

Q: how would you as an accounting student classify and record research and development expenditure in…

A: The usual problem for companies is that future benefits from research and development are uncertain…