Using practical example discuss why current asset is not seen not part of the income  statement

Q: A misstatement related to which of the following assertions means the dollar amount of the account…

A: Completeness represents that the financial statement of the company would be required to be…

Q: Trial Balance Question: What are some reasons as to why the trial balance may be…

A: Trial Balance: Trial balance is a financial statement that lists the balances of all general ledger…

Q: Explain is a change in depreciation method a change in accounting principle, or is it a change in…

A: According to the Accounting Standard 1-  the change in the method of depreciation is a change in the…

Q: Help According to the principle of conservatism, when faced with uncertainty about the value of an…

A: The conservatism principle suggests that a business, should anticipate and record future losses…

Q: Could you possibly provide an additional situation that LIFO wouldn't be a better match for revenue…

A: Last-in, First-Out (FIFO): "First-In, First-Out" (also known as "FIFO") makes the assumption that…

Q: Why is it expected that the initial debit and credit totals of the income statement accounts do not…

A: Financial statements includes Income statement Balance sheet Cash flow statement Form worksheet…

Q: 1, how can assets and liabilities be classified for a more informative balance sheet?

A: Introduction :- A classified balance sheet is a financial statement with classifications like…

Q: What is the effect of bad debts on revenue recognition? a. Bad debts must be of a remote likelihood…

A: As per IAS/IFRS 15 Revenue From contract with customers, A Bad debt is an uncollectible accounts…

Q: Lower of cost or market is an attribute used for the:   a. initial measurement of accounts…

A: Lets understand the basicsas per IAS 2 "Inventory" inventory should initially be recorded at cost.…

Q: Expenses recognized in the wrong accounting period: What does it mean when a company may delay…

A: Delaying the recognition of an expense by recording it as an asset is a common accounting practice…

Q: Multiple choice: 1. Which if the following us correct concerning a T account? A. The left side is…

A: The T-accounts are prepared with posting of journal entries to specific accounts.

Q: Which of the following statements is not true of the accrual basis of accounting? O a. The accrual…

A: As per accrual basis of accounting the revenue and expense should be recognised as and when accrued.…

Q: Historical cost accounting remains in use because of its practical advantages. Which of the…

A: Cost Accounting -Managerial accounting includes cost accounting, which gathers and examines…

Q: An adjusting entry would adjust revenue so it is reported when earned and not when cash is received.…

A: Adjusting entries are prepared by management to ensure the accrual basis accounting system. It is…

Q: Please answer with reason for all why the option is correct and why the other options are incorrect…

A: Accounting errors can occur for various reasons, and they can have significant implications for the…

Q: If CBA Failed to meet earning expectations because Loan Impairment expense was Higher than expected,…

A: The question is asking about the likely Earnings Response Coefficient (ERC) if Commonwealth Bank of…

Q: Conservatism means: a)not underestimating asset values, when faced with uncertainty about the value…

A: Accounting principles means the fundamental upon which the whole accounting is based. Every entity…

Q: Don't use Ai

A: A balance sheet is a financial statement that provides a snapshot of a company's financial position…

Q: What does deferred revenue generally represent on the balance sheet? Amounts that have been invoiced…

A: Deferred revenue refers to the money a company receives in advance for goods or services that it has…

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.