Lecture 9 .pptx.ppt - Financial Accounting Prof Mirella Ciaburri Lecture 9,11 PARTICULAR OPERATIONS RELATED TO ACQUISITION John Cabot University

Lecture 9 .pptx.ppt - Financial Accounting Prof Mirella...

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Financial Accounting Prof. Mirella Ciaburri Lecture 9,11
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John Cabot University PARTICULAR OPERATIONS RELATED TO ACQUISITION
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John Cabot University ADVANCES TO SUPPLIERS
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John Cabot University Advances to suppliers ADVANCES ??? FROM CLIENTS TO SUPPLIERS Raw materials Fixed assets Pre-paid costs Fixed assets
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John Cabot University Advances to suppliers B.S. I.S. B.S. I.S. Cash at bank -200 PREPAID COSTS Advances to suppliers +200 Raw materials (for which the advance had been paid) are received. The total purchase value is € 500. The rest is paid half cash and half delayed. The Company pays an advance to a raw material supplier for € 200 Accounts payables (suppliers) +150 Raw materials +500 Cash at bank -150 Advances to suppliers 0 +200
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John Cabot University Advances to suppliers B.S. I.S. Cash at bank -500 FIXED ASSETS Advances to suppliers +200 The Company pays an advance to a machinery supplier for € 500
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John Cabot University FIXED ASSETS DISPOSAL
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John Cabot University Fixed assets disposal DISPOSAL OF FIXED ASSETS POSITIVE DIFFERENCE NEGATIVE DIFFERENCE Difference between the book value of fixed assets and their transfer price Capital gain (non-recurring revenue) Capital loss (non-recurring expense)
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John Cabot University Fixed assets disposal DERECOGNITION OF THE OLD ASSET RECOGNITION OF THE NEW ASSET RECORDING OF A CAPITAL GAIN (LOSS) IN THE I.S. BARTER WITH A FIXED ASSETS CASH PAYMENT DERECOGNITION OF THE OLD ASSET INCREASE IN CASH OR IN RECEIVABLES RECORDING OF A CAPITAL GAIN (LOSS) IN THE I.S.
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