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This is the income received but not earned throughout the accounting period. Conversely, this is the income for those services are to be rendered in future. Such income is deducted from the related income in the credit side of loss and profit account and is also demonstrated as a liability in the balance sheet.
To notice the impact of adjustment entries' on the last account as financial condition of the business firm let's take the similar illustration of Ms. Naina again only comprising the some common adjustments in this. And here we check its impact practically through comparing the transactions of both the examples along with or without adjustment entries.
High Bhd acquired shares in two other companies as follows: Additional information: i) Goodwill on acquisition of Swift was impaired by RM80,000 as
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A small company employing around 25 people manufactures and sells anthropometric measuring equipment - equipment used mainly in hospitals to measure the height and other dimensions
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