Accounting principles and assumptions

Reference no: EM13953120

Accounting Principles and Assumptions

The following basic accounting principles and assumptions were discussed in the chapter:

Economic entity Monetary unit Cost principle Going concern Time period

Fill in each of the blanks with the accounting principle or assumption that is relevant to the situation described.

1. Genesis Corporation is now in its 30th year of business. The founder of the company is planning to retire at the end of the year and turn the business over to his daughter.

2. Nordic Company purchased a 20-acre parcel of property on which to build a new factory. The company recorded the property on the records at the amount of cash given to acquire it.

3. Jim Bailey enters into an agreement to operate a new law firm in partnership with a friend. Each partner will make an initial cash investment of $10,000. Jim opens a checking account in the name of the partnership and transfers $10,000 from his personal account into the new account.

4. Multinational Corp. has a division in Japan. Prior to preparing the financial statements for the company and all of its foreign divisions, Multinational translates the financial statements of its Japanese division from yen to U.S. dollars.

5. Camden Company has always prepared financial statements annually, with a year-end of June 30. Because the company is going to sell its stock to the public for the first time, quarterly financial reports will also be required by the SEC.

Reference no: EM13953120

Questions Cloud

Prepare your suggestion report on the ground of hih case : You are required to prepare your suggestion report on the ground of HIH case to ensure that such a collapse cannot happen again if the organization systematically maintain and implement internal control procedure.

Means and standard deviations of the annual returns : Modify the spreadsheet above to accommodate the possibility of v not equal to 1. Use excel data table (1 dimensional) to check the sensitivity of the portfolio's std dev as a function of v. Vary v from .05 to 1.5 in .05 increments.

Provide a brief explanation of the elements : Read "A & P" p. 148 "Trifles" p. 1125. Pick one of these stories for the assignment. Using the "Elements of Fiction in "Story of an Hour" (below) as a model, you will provide a brief explanation of the elements listed below for the story you ch..

Calculate the percent of total deaths from each cause : Calculate the percent of total deaths from each cause, and display the results in a pie chart. From the death rate (per 100,000 population) for heart disease, calculate the population for Minnesota for the year 1991.

Accounting principles and assumptions : Genesis Corporation is now in its 30th year of business. The founder of the company is planning to retire at the end of the year and turn the business over to his daughter.

Calculate sensitivity and specificity of x-ray : Calculate the sensitivity and specificity of x-ray as a screening test for tuberculosis.

What is the mean of the sampling distribution : Consider a sample size of 2 without replacement. Find the mean of the variable x

Net income and retained earnings : Net Income and Retained Earnings-The following information is available from the records of Prestige Landscape Design Inc. at the end of the year:

Case of tertiary systerm layout : Explain the relationship between check structure and turnout/outlet structure in terms of their operations/functions

User Account

All Pages