Subsidiary: Subsidiary is a part of parent company. The companies making investment in the parent companies are the subsidiary companies. Parent company: The company having more than 50% control on subsidiary units is parent company. The investee invests in the parent company to earn high percentage of return. Interest revenue: The investor invests in the bonds and shares of companies to earn a fixed percentage of income in return of the amount invested at specific time intervals. The interest accrued on the investment is the income of the investee. This interest is also known as interest revenue. Current assets: Current assets are assets which are expected to be converted into cash and cash equivalent within a year. They are also used to pay the current liabilities of the company. It includes cash, short term investment, accounts receivables , and other current assets. Fair value: The fair value is the original value of the investment. The companies have to calculate the value of investment at the end of a year with the help of fair value to record in the books of accounts. Equity method: It is a method of ascertaining the profit earn or loss suffered by the companies from their investments. The equity method is a type of accounting technique. To fill: The blank descriptions with appropriate terms.

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Answer 1

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Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter C, Problem 12QS

To determine

Subsidiary:

Subsidiary is a part of parent company. The companies making investment in the parent companies are the subsidiary companies.

Parent company:

The company having more than 50% control on subsidiary units is parent company. The investee invests in the parent company to earn high percentage of return.

Interest revenue:

The investor invests in the bonds and shares of companies to earn a fixed percentage of income in return of the amount invested at specific time intervals. The interest accrued on the investment is the income of the investee. This interest is also known as interest revenue.

Current assets:

Current assets are assets which are expected to be converted into cash and cash equivalent within a year. They are also used to pay the current liabilities of the company. It includes cash, short term investment, accounts receivables, and other current assets.

Fair value:

The fair value is the original value of the investment. The companies have to calculate the value of investment at the end of a year with the help of fair value to record in the books of accounts.

Equity method:

It is a method of ascertaining the profit earn or loss suffered by the companies from their investments. The equity method is a type of accounting technique.

To fill: The blank descriptions with appropriate terms.

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Cullumber Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2025, Job 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows: direct materials $16,800, direct labor $10,080, and manufacturing overhead $13,440. As of January 1, Job 49 had been completed at a cost of $75,600 and was part of finished goods inventory. There was a $12,600 balance in the Raw Materials Inventory account on January 1. During the month of January, Cullumber Company began production on Jobs 51 and 52, and completed Jobs 50 and 51. Jobs 49 and 50 were sold on account during the month for $102,480 and $132,720, respectively. The following additional events occurred during the month. 1. Purchased additional raw materials of $75,600 on account. 2. Incurred factory labor costs of $58,800. 3. Incurred manufacturing overhead costs as follows: depreciation expense on equipment $10,080; and various other…

General Accounting question

Answer 2

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter C, Problem 12QS

To determine

Subsidiary:

Subsidiary is a part of parent company. The companies making investment in the parent companies are the subsidiary companies.

Parent company:

The company having more than 50% control on subsidiary units is parent company. The investee invests in the parent company to earn high percentage of return.

Interest revenue:

The investor invests in the bonds and shares of companies to earn a fixed percentage of income in return of the amount invested at specific time intervals. The interest accrued on the investment is the income of the investee. This interest is also known as interest revenue.

Current assets:

Current assets are assets which are expected to be converted into cash and cash equivalent within a year. They are also used to pay the current liabilities of the company. It includes cash, short term investment, accounts receivables, and other current assets.

Fair value:

The fair value is the original value of the investment. The companies have to calculate the value of investment at the end of a year with the help of fair value to record in the books of accounts.

Equity method:

It is a method of ascertaining the profit earn or loss suffered by the companies from their investments. The equity method is a type of accounting technique.

To fill: The blank descriptions with appropriate terms.

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Answer 3

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter C, Problem 12QS

To determine

Subsidiary:

Subsidiary is a part of parent company. The companies making investment in the parent companies are the subsidiary companies.

Parent company:

The company having more than 50% control on subsidiary units is parent company. The investee invests in the parent company to earn high percentage of return.

Interest revenue:

The investor invests in the bonds and shares of companies to earn a fixed percentage of income in return of the amount invested at specific time intervals. The interest accrued on the investment is the income of the investee. This interest is also known as interest revenue.

Current assets:

Current assets are assets which are expected to be converted into cash and cash equivalent within a year. They are also used to pay the current liabilities of the company. It includes cash, short term investment, accounts receivables, and other current assets.

Fair value:

The fair value is the original value of the investment. The companies have to calculate the value of investment at the end of a year with the help of fair value to record in the books of accounts.

Equity method:

It is a method of ascertaining the profit earn or loss suffered by the companies from their investments. The equity method is a type of accounting technique.

To fill: The blank descriptions with appropriate terms.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 4

Question

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter C, Problem 12QS

To determine