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Q. Explain about Stockholders equity?
Stockholders' equity demonstrates the owners' interest in the business. This interest is equivalent to the amount contributed plus the income left in the business. The items in stockholders' equity in The Home Depot's balance sheet are paid-in capital (including common stock) and retained earnings. Paid-in capital demonstrates the capital paid into the company as the owners' investment. Retained earnings demonstrate the cumulative income of the company less the amounts distributed to the owners in the form of dividends. Cumulative translation adjustments consequence from translating foreign currencies into US dollars. The next section demonstrates how two categories on the classified balance sheet relate to each other. Together they assist reveal a company's short-term debt-paying ability.
Identify and explain the two ratios that are used to assess the solvency of a business.
Money owed by a business enterprise for merchandise bought on open account. It is also known as "A/R" or just "Receivables". Accounts Receivable is the quantity owed to a company
Q. Explain about Accrual basis and periodicity? Accrual basis and periodicity demonstrated that financial statements more accurately reflect the financial status and operations
Different Methods Of depreciation Diminishing Value Method Straight Line Method Annuity Method Depletion Method Written Down value Method
What is journal entry for Input CST which are paid at the time of purchases of goods from other state.
Q. Explain about Cash equivalents? Cash equivalents are highly liquid short-term investments obtained with temporarily idle cash and easily convertible into a known cash amount
Q. Show Accumulated depreciation account with example? Micro Train credits the depreciation amount to an accumulated depreciation account which is a contra asset rather than di
What is differences in access to financial information Distinction between the two areas of accounting reflects, to some extent, differences in access to financial information.
Q. Illustrating the recording of sales returns? Following are two instances illustrating the recording of sales returns in the Sales Returns and Allowances account - Suppose
In accounting, only those facts that can be expressed in terms of money are recorded. When money is accepted not merely as a medium of exchange but also as a measuring rod of value
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