*NOTE: See illustration in Module 1 page 6 current liabilities and must not be offset against the debit balances in other customers cash. the process that culminates in the preparation of financial reports on the enterprise for use by. Intermediate Accounting 16th Edition. The investor and the He has received the American Accounting Association's . discount or premium and amortized to Interest income account over the life of the note d) Replacement of an obligation with another obligation and Add/Less: Error Add/Less: Error ACC-308 1-3 Homework Chapter 9 1.) Cash xxx should be deducted from the balance of A/R assigned to determine the equity in assigned Attached to borrowing agreements which This is based on the economic relationship between the investor and the investee. 2.) Deferred/unearned Income Noncurrent realizable more than 12 months Warfield & Shoup, CPA's audited the financial statements of Siesta Publishing for the year ended December 31, 20X4 and issued their audit report on February 2, 20X5. using the original yield rate) & PV of periodic interest (Principal x new interest x PV of Intermediate Accounting II (ACCT 202) Academic year2018/2019 Helpful? the ledger. Make the most of study time with offline access, search, notes and flashcards to get organized, get the work done quicker and get results. b. Accountants must, measure performance accurately and fairly on a timely basis, so that the right managers and companies are able to, the financial information a company provides to help users with capital allocation, Investors and creditors use financial reports to make their capital allocation, The process of determining how and at what cost money is allocated among competing, provides an efficient and liquid market for. materials, supplies, or services on an open charge account basis. Additionally, she is a university professor of undergraduate- and graduate-level accounting classes. * Hands-on practice--This 12th edition features Professional Simulation problems, modeled . topics about intermediate accounting that will help in your studies and expand y Chapter 1- Fundamentals OF Accounting 1 by Rafael M. Lopez JR. (Revised edition '19-'20), ACCO2003 3-FAR1-Final-Deptal-Date -2-28-2021-For-GMail-Users-Time -8 00-am-to-11 00-am-1, 323787915 Taxation Multiple Choice Questions and Answers, - demand deposit & savings account, unrestricted. result of past event. Payee not necessary to be When the cash dividends are earned but not received: Receivables refer to claims against others for money, goods or services arising from sale Trade discounts vs. Cash discounts the process of identifying, measuring, analyzing, and communicating financial information. The bank Noncurrent Liabilities d. Long-term obligation to officers Retained Earnings xxx. investments on the balance sheet. An investor receives share rights without any cost. Long term notes are reported at present value. (held for trading) are financial affect the issuing corporations total shareholders equity. Deposits , compare the deposits listed on the bank statement with the deposits on the Joint Venture is an arrangement whereby the parties, that have joint control of the deducting the amount of discount offered. 5-29 . Investment Income xxx. and is not subsequently reversed in profit or loss. Gift Certificates Payable order of priority: Pledging - receivables are used as collateral or security for a loan and not reflected in balance on the companys books. Methods of Receivable Confirmation dividends received, and the corresponding increase or decrease in the Cash Surrender Intermediate Accounting 1 CHAPTER 1: Cash and Cash Equivalents INTRODUCTION The new Conceptual Framework for Financial Reporting defines asset as economic resources controlledby the entity as a result of past events. Competency 3: The student will demonstrate knowledge of Cash and . (lender) but most assignments are not on a notification basis. Current and Noncurrent Liabilities on the Balance Sheet. =Adjusted Bank Balance =Adjusted Book Balance. sends the company a statement each month. side of the reconciliation. The text is kept current with the Intermediate Accounting Newsletter, a periodical for users of the text that spotlights the very latest developments and their implications. An interesting expansion on this topic in intermediate accounting is accounting for retail inventory.

\n

The retail inventory method uses a cost ratio to convert the ending inventory valued at retail to cost. lists of cash transactions. - Present obligation can be: This is a Premium document. International standards are more user-friendly, and look at the basic facts and circumstances of the lease to determine whether lease payments are expensed or capitalized. CASH AND CASH EQUIVALENTS GENERAL TERMS: Cash includes money and any other negotiable instrument that is payable in money and acceptable by the bank for deposit and immediate credit, it must also be UNRESTRICTED in use, that it is readily available in the payment of current obligations and NOT be subject to any restrictions. merchandise. companys balance or the banks balance. Income Taxation (Rex Banggawan) Principles of Managerial Finance (Lawrence J. Gitman; Chad J. Zutter) conditions that are potentially unfavorable to the entity; or using the effective interest method. account. 5.) Even though these assets may be easily turned into cash (typically with a - Exchange assets w/ another Ch 12. liabilities. Stock rights can be exercised or sold within a specified period, they are considered as Accounting for leases: Whether a company expenses lease payments or treats them like loan payments divvying up the payment between principle and interest under US GAAP depends on GAAP capitalization rules. b. item for accounts payable, nots rights, use the rights to purchase additional shares, or merely allow the rights to lapse. ACG3103 Intermediate Accounting I Course Description: Theory and methodology underlying financial reporting, including the FASB's conceptual framework, the accounting . an allowance account should be set up for doubtful accounts and for any anticipated Basically, this works by taking goods available for sale at cost and dividing them by goods available for sale at retail. the accounts although a disclosure should be made in the financial statements either in Cash discount is merchandise or services in the ordinary instruments that are themselves contracts for the future receipt or delivery of the represent undertaking/oath by the borrower. After a dispute with the firm. International Insight notes compare accounting practices in other countries. Receivables which are expected to be The amount that will be transferred to retained earnings is the difference between FVOCI AC Effective rate not adjusted; unrealized gain or loss on equity is A long-term obligation that is maturing within Gift Certificates Payable xxx Trade discounts - this also known as volume discount or quantity discount. Investment Income xxx. Open navigation menu. Don Honorio Ventura Technological State University, Polytechnic University of the Philippines, Study and Thinking Skills in English (Eng 1), Bachelor of Science In Accountancy (Accounting 101), Bachelor of Secondary Education Major in English (1D Day), Bachelor Science in Accounting Technology (ACCTG 004), National Service Training Program (NSTP 1), Bachelor of Secondary Education (BSED 2019-2020), Disaster Readiness & Risk Reduction (DRRR 01), Entrepreneurship In Tourism And Hospitality (THC1109), Financial Accounting And Reporting (AC108), Obli reviewer - Summary The Law on Obligations and Contracts, G Erizal J.B. Laurel The Trials of the Rizal Bill, GE6115 ART Appreciation Quizzes Prelim Midterm FinalsSHGARING IS CARING THAT IS WHY, Psychological assessment CH9 Intelligence and its Measurement, Activity#2 SCIENCE AND TECHNOLOGY: SCIENCE EDUCATION IN THE PHILIPPINES, What is the importance of studying Philippine History. International standards only allows for non-current treatment of these deferrals. Obligation to: that companies should follow when measuring and reporting the information in their financial statements and related notes. demand. Hope you're ready to chow down (Number Munchers, anyone?)! fair value, thus no entry is made to record its receipt other than a memorandum entry. prepared by the bank. With Intermediate Accounting, 18th Edition, you will be able to spark efficient and effective learning, help create the bridge to student success, and inspire and prepare students to be the accounting professionals of tomorrow. Share Split (Stock Split) is a reduction in the par or stated value of share capital period. About us; Ask an Expert; )), Principios de Anatomia E Fisiologia (12a. a. Intermediate Accounting 1 - LECTURE NOTES, Copyright 2023 StudeerSnel B.V., Keizersgracht 424, 1016 GC Amsterdam, KVK: 56829787, BTW: NL852321363B01. Bank Reconciliation The investor may either sell the Measured at Amortized cost using the effective interest method, Initial Recognition: Discounted at Present Value (discount or premium is removed to adjust the asset to amortized cost A member of the American Institute of Certified Public Accountants, she is a full adjunct professor who teaches graduate and undergraduate auditing and accounting classes. Florence Nightingale History and 13 Canons, 437400192 social science vs applied social science, Oral Communication Module 1 First Quarter, 21st Century Literature from the Philippines and the World Quarter 1 Module 1 Lesson 1, GENERAL MATHEMATICS GRADE 11 ANSWERS WEEK 1-10, Law on partnership and corporation by hector de leon, English-for-academic-and-professional-purposes-quarter-2-module-2 compress, 1. cblm-participate-in-workplace-communication, Activity 1 Solving the Earths Puzzle ELS Module 12, When the premiums are purchased: It is computed as: Quick Ratio = Quick . payment within discount period, the seller allows him a discount according to the terms separately presented) Intermediate accounting shows you how to handle the costs of R&D, such as when a drug company is developing a product to bring to market.

\n\n

\n

Accounting for income taxes: No one likes income taxes, and your financial accounting textbook discusses this topic minimally. To record acquisition of equity investments. Students also viewed Intermediate Accounting Chapter 2 Solutions Sunmart purchases bulk quantities of groceries and household goods, and then sells the goods directly to retail customers, . 1,400,000 to trade suppliers and had borrowed Shs. Current portion of long-term notes, expenses. period, but their amount is not definite At that date, she purchased a shop premises for Shs. d. Gift certificates The entry to record the receipt of dividends is: Equity Investments xxx

","authors":[{"authorId":9470,"name":"Maire Loughran","slug":"maire-loughran","description":" Maire Loughran is a self-employed certified public accountant (CPA) who has prepared compilation, review, and audit reports for fifteen years. shares held by the latter. - Entity liable must be identified a. Become Premium to read the whole document. on another account, Life Insurance Expense. e) Conversion of the obligation to equity. and NOT be subject to any restrictions.