Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. Explain about realization principle?
Realization of revenue Under the realization principle the accountant doesn't recognize (record) revenue until the seller obtains the right to receive payment from the buyer. The seller obtains this right from the buyer at the time of sale for merchandise transactions or when services have been performed in service transactions. Legally a sale of merchandise takes place when title to the goods passes to the buyer. The time at which title passes usually depends on the shipping terms- FOB shipping point or else FOB destination. As a practical matter accountants in general record revenue when goods are delivered. The benefits of recognizing revenue at the time of sale are (a) the actual transaction-delivery of goods-is an observable event (b) revenue is easily measured (c) risk of loss due to price decline or destruction of the goods has passed to the buyer (d) revenue has been earned, or substantially so and (e) because the revenue has been earned, expenses and net income can be determined. As discussed later the drawback of recognizing revenue at the time of sale is that the revenue might not be recorded in the period during which most of the activity creating it occurred.
Finance Officer: the life blood of business is Finance. Procuring financial resources and their judicious utilization are the two significant activities of financial management. F
Jim owns and manages a small business, which provides an office design service, as well as buying and selling office furniture. Jim is a sole trader who manages all aspects of the
Q. Explain double-entry procedure? The double-entry procedure maintains the accounting equation in balance. The dual recording process generates two sets of accounts those with
How to setup T accounts
Graham maintains that formulation and implementation are phases in the strategic management process. Yolanda maintains that evaluation and estimation are also part of this proc
The following difference among financial and taxable income were reported by Dider Corporation for the current year (a) Excess of tax depreciation over book depreciation-------
Q. Show Advantages and disadvantages of LIFO? The advantages of the LIFO method are based on the fact that prices have risen almost constantly for decades. LIFO supporters clai
Based on the financial statements for Jackson Enterprises (income statement, statement of owner's equity, and balance sheet) shown below, prepare the following financial ratios.
Creditors: this may be short or long-term lenders. Short-term creditors comprise suppliers of materials, services or goods. They are generally termed as trade creditors. Long-term
The operating expenses section Operating Expenses - directly associated to the sale of merchandise General expenses (administrative expenses) related to business's offic
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd