As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts. To explain: Whether the information gathered by employee is useful.

Question

Want to see the full answer?

Answer 1

Question

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

6 Becky and Carl work for a marketing firm. The two accountants discuss the organization’s financial performance. Carl asks Becky, “What’s the bottom line?” Becky reviews a financial report that shows the firm’s profitability over the last quarter. The document Becky reviews is called the Multiple Choice tax return. ledger. audit. income statement. 7 Diedre works at Sally’s Autobody Workshop. Her main job responsibility is to record the routine, day-to-day business transactions of the firm. Based on this information, Diedre is a Multiple Choice tax accountant. forensic accountant. bookkeeper. CMA. 8 A new fitness company called Jump Athletics receives a trademark for its brand name. The trademark received by Jump Athletics is a Multiple Choice return on asset. current asset. liquid asset. fixed asset. 9 Rowena, a senior manager at Top of the Line Publishing, wants a quick snapshot of the company’s financial position before she goes to a manager’s meeting. In this case, which of the…

Description and Instructions You are a student from a prominent university and were sent out to work with a leading merchandizing company as a part of a work experience program. Having been introduced to the general manger you were told that the accountant who normally prepares the financial statements has suddenly resigned and there is no one available to prepare the company’s financial statements which are now due. As aspiring university student, you have expressed an interest in taking on the task. You are required to analyse the problem at hand then apply the accrual basis of accounting in the preparation of the company’s financial statements.

Suppose you are a part of a group of students from a prominent university and were sent out as a team to work with a leading merchandizing company as a part of a work experience program. The team having been introduced to the general manger was told that the Accountant who normally prepares the financial statements has suddenly resigned and there is no one available to prepare the company’s financial statements which are now due. As aspiring university students, you have expressed an interest in taking on the task. You are required to analyse the problem at hand then apply the accrual basis of accounting in the preparation of the company’s financial statements.

Answer 2

Question

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Answer 6

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

Answer 7

Chapter 2, Problem 2.1AP

1.

To determine

Concept Introduction:As per materiality principle, company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To explain: Whether the information gathered by employee is useful.

Answer 8

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Answer 9

2.

To determine

Concept Introduction:As per materiality principle company should records or shows only those information or data in books of accounts which are material for the business and for the purpose of accounting. All unnecessary information must not be recorded in books of accounts.

To Explain: Whether the information gathered by employee is useful for hardware or real-estate company.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 13

Ch. 2 - Read each definition below and write the number of...Ch. 2 - Prob. 2.1E Ch. 2 - The Operating Cycle Two Wheeler Cycle Shop buys...Ch. 2 - Classification of Financial Statement Items Regal...Ch. 2 - Current Ratio Baldwin Corp. reported the following...Ch. 2 - Classification of Assets and Liabilities Indicate...Ch. 2 - Selling Expenses and General and Administrative...Ch. 2 - Prob. 2.7E Ch. 2 - Income Statement Ratio The income statement of...Ch. 2 - Statement of Retained Earnings Landon Corporation...

Solution Summary: The author explains that as per materiality principle, company should record or show only those information or data in books of accounts which are material for the business.

Want to see the full answer?

Chapter 2 Solutions