All categories

2 years ago

How would a company report a change in an accounting principle made on the last day of the third quarter?

1 answer:

8 0

If a company changes an accounting principle on the last day of the 3rd quarter they need to apply a retrospective application to all pre-change interim periods reported.

<h3><u>What is accounting?</u></h3>

Accounting is the process of documenting a business's financial transactions. These transactions are compiled, examined, and reported to oversight organizations, regulatory bodies, and tax collection organizations as part of the accounting process.
A company's operations, financial condition, and cash flows are summarized in the financial statements that are used in accounting. They provide a succinct summary of financial transactions across an accounting period.
One of the most important aspects of practically every firm is accounting. Small businesses may have a bookkeeper or accountant manage it, whereas larger corporations may have vast finance departments with many people.

Management can make wise business decisions thanks to the information produced by many streams of accounting, including cost accounting and managerial accounting.

Know more about accounting with the help of the given link:

brainly.com/question/13310721

#SPJ4

You might be interested in

Koffee Express operates a number of espresso coffee stands in busy suburban malls. The fixed weekly expense of a coffee stand is

sergey [27]

Answer:

* Number of Cups of coffee served in a week is 1,800:

Fixed cost: $1,100

Variable cost: $0.26

Total cost average cost per cup: $0.87 ( which is calculated as Total Fixed cost/Total of cups served + Variable cost per unit = 1,100/1,800 + 0.26)

* Number of Cups of coffee served in a week is 1,900:

Fixed cost: $1,100

Variable cost: $0.26

Total cost average cost per cup: $0.84 ( which is calculated as Total Fixed cost/Total of cups served + Variable cost per unit = 1,100/1,900 + 0.26)

* Number of Cups of coffee served in a week is 2,000:

Fixed cost: $1,100

Variable cost: $0.26

Total cost average cost per cup: $0.81 ( which is calculated as Total Fixed cost/Total of cups served + Variable cost per unit = 1,100/2,000 + 0.26)

The average cost per cup of coffee served decreases as the number of cups of coffee served in a week increases.

This is because average cost per cup of coffee served is equal to the sum of allocated fixed cost to one cup of coffee + variable cost of one cup of coffee. Although the variable cost of one cup of coffee remains the same given changes in the number of cups served, the allocated fixed cost to one cup of coffee decreases as the cups served increases as Total fixed cost remained the same, yet it will be allocated to more cup served, so the amount allocated to one cup served will decreases.

A formula will make it easy to understand:

Average cost per cup of coffee served = Variable Cost + Total Fixed cost/Total of cups served. Variable cost and total fixed cost remains the same with the variation of number of cup served; thus as number of cups served increases, Average cost per cup of coffee served decreases.

Explanation:

7 0

3 years ago

You just received a gift from a friend consisting of 1,000 Thai baht, which you would like to exchange for Australian dollars (A

yanalaym [24]

Answer:

AUD 39.93 is expected to be received for your baht.

Explanation:

To calcuate the cross currency exchange rate between Thai Baht and AUD, inverse the USD per Thai Baht quote, this will give you (1/0.023 = 43.478). Now, multiply this by USD per AUD ( TBHT by USD multiplied by USD by AUD, thus USD will cancel out and leave you with TBHT by AUD). The Final ER will stand at TBHT 25.0434 per AUD. Divide the sum of TBHT 1000 by 25.0434 and you will recieve AUD 39.93

3 0

3 years ago

_______________ tend to carry a wide array of goods for a long period of time, while _______________ focus more on the positi

Makovka662 [10]

The answers are the following; assortment warehouse and spot stock warehouses.

It is because the assortment warehouse the capability of carrying goods in a long period of time while the spot stock warehouses only has seasonal goods that are placed or focused on.

7 0

3 years ago

A firm based in Norway has found that its growth is restricted by the limited liquidity of the Norwegian capital market. List th

Harlamova29_29 [7]

Answer:

The Mexican firm can bring capital up in the worldwide value Market, worldwide security showcase, or the Eurocurrency advertise.

<u>The worldwide value Market </u>

The firm can offer corporate stock to outsiders on the worldwide value showcase. Numerous speculators don't accepting stock outside their national or closest stock trade. The Mexican firm can show itself on the New York, London, Hong Kong, and so on stock trade to get more speculators at a lower cost of capital. The drawback is that organizations need to set up their budget summaries in a way worthy to the outside stock trades.

<u>The worldwide security showcase </u>

The firm can offer a guarantee to pay in two habits, an outside bond and a Eurobond. Outside bonds are paid in the cash of the country where they are given, Eurobonds are paid in a money other than the cash where they are given. On the off chance that the firm sells an outside bond in the US, it will take care of head and enthusiasm for dollars. On the off chance that it does as such in Britain, the bond will be taken care of in pounds. With a Eurobond, the firm can sell the bond in Britain yet take care of it in dollars, yen, and so forth. Advantages incorporate less guideline, not following the local cash guarantor's money related revealing prerequisites, and not paying the local money backer's annual expenses. For instance, if the organization obtained in dollars from Britain, the organization would not need to reply to the SCC, record as indicated by US GAAP bookkeeping gauges, or make good on US annual charges

<u>The Eurocurrency showcase </u>

In the Eurocurrency showcase, the Mexican firm can apply for a line of credit in dollars from Britain, an advance in yen from the United States, or an advance in Euro in Japan. Less guideline brings about a lower financing cost on Eurocurrency credits. Lamentably, less guideline additionally implies a somewhat improved probability of bank disappointment.

One drawback to these is outside trade risk. In the event that the Mexican peso devalues, the peso has less worth comparative with another unit of cash. More pesos should then be utilized to pay dollar or euro named premium installments, rule installments, profits, and so forth. In a specific way these techniques for raising outside capital have remote trade risk. Since profits don't need to be paid while advances, premium installments, and standard installments do; it may be increasingly alluring to utilize the worldwide value advertise. The main path for the Mexican firm to totally stay away from exchange risk is to utilize the Mexican capital markets.

6 0

3 years ago

Yale Corporation issued to Zap Corporation $48,000, 8% (cash interest payable semiannually on June 30 and December 31) 10-year b

tino4ka555 [31]

Answer:

Yale Corporation

Journal Entries:

a. January 1, 2020:

Debit Cash $44,878

Debit Premium on bonds $3,122

Credit 8% Bonds Payable $48,000

To record issuance of the bonds.

b. June 30, 2020:

Debit Interest Expense $2,020

Credit Bond Discounts $100

Credit Cash $1,920

To record the first payment of interest.

Explanation:

a) Data and Calculations:

January 1, 2020:

Face value of bonds = $48,000

Price of bonds = $44,878

Discounts on bonds = $3,122

Coupon interest rate = 8%

Interest payment = semiannually on June 30 and December 31

Maturity period = 10 years

Effective interest rate = 9%

June 30, 2020:

Interest Expense $2,020 ($44,878 * 4.5%)

Cash payment 1,920 ($48,000 * 4%)

Discount amortization $100

Value of Bonds = $44,978 ($44,878 + $100)

December 31, 2020:

Interest Expense $2,024 ($44,978 * 4.5%)

Cash payment 1,920 ($48,000 * 4%)

Discount amortization $104

Value of Bonds = $45,082 ($44,978 + $104)

N (# of periods) 20

I/Y (Interest per year) 9

PMT (Periodic Payment) 1920

FV (Future Value) 48000

Results

PV = $44,878.10

Sum of all periodic payments $38,400.00

Total Interest $41,521.90

4 0

3 years ago