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Trend Analysis:
In the relative and common size financial statements, the data cannot be identified whether it is abnormal or normal as an essential standard is absent. To conquer this restrictions trend analysis can be used to analyze business data. Below this method, each item's worth over a phase of time is collected and an arithmetical relationship is ascertained. Typically, the first year is taken as the base year. In further words, under trend analysis, a base year is recognized and the values of a given item in following years are expressed as a percentage of the base year value. The stand year value is typically defined as 100, for ease of understanding or is expressed as a trend ratio.
Perth Ltd acquired 80% of the share capital of Summer Ltd on 1 July 2011. The following equity balances appeared in the records of Summer Ltd at the date of acquisition: Share capi
State the steps of Merchandise inventory 1) TRANSFER THE BEGINNING INVENTORY FIGURE Debit INCOME SUMMARY for beginning inventory amount. Credit MERCHANDISE INVENTORY fo
Weston Corporation manufactures a product that is available in both a deluxe and a regular model. The company has made the regular model for years; the deluxe model was introduced
A view organizes diagrams into logical groups to explain a particular aspect of the system. It is the abstraction of the system prepared is such a way as to give a perspective of a
The assets and liabilities of Amos Moving Services at May 31, 2011, the end of the current year, and its revenue and expenses for the year are listed below. On April 1, 2010, the
How do you set up a t account correctly?
explain the separate set of books method for maintaining joint venture accounts
Q. Gain and loss recognition principle? The gain and loss recognition principle states that we record gains merely when realized but losses when they first become evident. Ther
My company has done a down payment on inventory ,then manufacturer will ship this order between 30 to 60 days after original payment and the balance is due 60 days once the order g
Q. Example of lower-of-cost-or-market method? A company may perhaps apply LCM to each inventory item such as Monopoly each inventory class (such as games) or total inventory. T
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