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Q.1 As a potential investor, what is the problem with different countries having different accounting standards? As the president of a multinational company, what is the problem with different countries having different accounting standards?
Q.2 Describe the respective roles of the Securities and Exchange Commission (SEC) and the Internal Revenue Service (IRS) in the setting of accounting standards?
Q.3 Why is it important for financial statements and other external reports to be based on generally accepted accounting principles?
Q.4 Explain the ways in which the needs of internal and external users of accounting information are the same and different.
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Strategic Positioning The company must identify its strategic choices. This can be done from the firm’s objectives, which emanates from the firms mission. Strategies have to be
5
In the current corporate world, this is a common practice of companies along with surplus cash to lend to another company for a short period generally ranging from 60 days to 180 d
Strengths and weakness of net book value and pay back method
contribution margin
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