What is meant by GAAG? Why should all companies follow GAAP in reporting to external users?

Q: Describe a company's accounting system. Why is this function significant and what does it do? What…

A: Every company involved in carrying out business transactions is required to keep a proper record of…

Q: What is the purpose of determining the BEP? How does a company use this in its daily activities?…

A: Breakeven point analysis is a tool used to determine when a business will be able to cover all its…

Q: Which transaction cycle includes interactions between an organization and its suppliers? Select one:…

A: Transaction cycle is set of various business transactions which can be aggregated to small number of…

Q: What information must an enterprise report by geographic area?

A: The information that an enterprise must report by geographic area are:  Revenues from external…

Q: How are management’s actions incorporated in EVA and MVA? How are EVA and MVAinterconnected?

A: Economic added value (EVA) is a measured cash-deductible reduction of capital costs of a firm's…

Q: What are the steps that would be needed for a company to transition from GAAP to IFRS?

A: GAAP refers to Generally Accepted Accounting Principles which is followed by US companies. IFRS is…

Q: What control system and subsidiary accounts should be included in Ermler & Trump’s manual accounting…

A: Control system and subsidiary accounts that should be included in Ermler & Trump’s manual…