ACC 500 Supplemental Problem Winter 2016
Comparative Balance Sheets
January 31, 2015 & 2014 (Dollars in millions)
INSTRUCTIONS: Prepare a Statement of Cash Flows using the indirect method.
Cash & Cash Equivalents
The basic purpose of accounting is to provide financial information about a business
organization to various parties. Accounting communicates financial information to the
decision makers. Hence there should be a complete uniformity in the pre
Basics of Financial Statement Analysis
Analyzing financial statements involves evaluating three characteristics of a
company: its liquidity, its profitability, and its insolvency. A short-term
creditor, such as a bank, is primarily interested in the abili
Accounting to Harold Berman accounting may be defined as identifying, measuring,
recording, and communicating financial information.
According to AmericanAICPA accounting is the act of recording classifying and
summarizing in differen
Financial accounting notes
ACCOUNTING:Accounting can be defined as: The art of analyzing and recording financial
transaction in a manner that facilitates classifying and summarizing the
information and reporting and interpreting the results. In other word
The purpose of accounting is to provide the information that is needed for sound
economic decision making. The main purpose of financial accounting is to prepare
financial reports that provide information about a firm's p
Every business concern wants to know business result (i.e. profit or loss) for the accounting period and financial
position (assets and liabilities) at the end of the accounting period. Final accounts are the means through whic
FUND FLOW STATEMENT
Definition of Funds flow statement.
The funds flow statement describes the sources from which additional
funds were derived and the use to which these funds were put.
It indicates various methods by which funds are obtained during a pa
Double Entry Bookkeeping
A business transaction involves an exchange between two accounts. For example, for
every asset there exists a claim on that asset, either by those who own the business or
those who loan money to the business. Similarly, the sale o
Amounts owing on open account to creditors for goods and services.
Money owed to a business for merchandise or services sold on open account.
Accounting method whereby income and expense items are recogni
Capturing Economic Events
Debits and Credits
Normal Account Balances
The Income Statement
Chapter 3 introduces the concepts of debit and credit, and demonstrates bookkeeping
activities. After studying Chapter 3 you
Generally Accepted Accounting Principles (GAAP) is the
term used to refer to the standard framework of
guidelines for financial accounting used in any given
jurisdiction. GAAP includes the standards,
conventions, and rules accountants follow in
Ratio-analysis is a concept or technique
which is as old as accounting concept.
Financial analysis is a scientific tool. It has
assumed important role as a tool for
(including Interpretations as on July 1, 2006)
THE INSTITUTE OF
CHARTERED ACCOUNTANTS OF INDIA
COPYRIGHT THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
All rights reserved. No part of this publication may be t
STATEMENT OF CASH FLOWS (SCF)
1. The basic financial statements (income statement, retained earnings statement and
the balance sheet) are prepared under the accrual basis. Under this basis revenue
is recorded when earned and expenses are recorded when inc
For the Partial Fulfillment of degree of B.Com.III (Prof.) of the deptt of
commerce & Bussian Management of Guru Nanak Dev University
Guided By :
Dr. K. K. Chawla
Submitted By :
Ratios and Formulas in Customer Financial Analysis
Financial statement analysis is a judgmental process. One of the primary objectives is
identification of major changes in trends, and relationships and the investigation of the
reasons underlying those ch
Financial statement analysis is important to boards, managers, payers, lenders, and others who make
judgments about the financial health of organizations. One widely accepted method of assessing
financial statements is ratio analysis, which u
FINANCIAL STATEMENT ANALYSIS.
The financial statements are prepared for the purpose of presenting a periodical review or report of the
progress made by the concern. It shows the 'status of the investment' in the business, and 'results
Meaning of Ratio:- A ratio is simple arithmetical expression of
the relationship of one number to another. It may be defined as
the indicated quotient of two mathematical expressions.
According to Accountants Handbook by Wixon, Kell and Bed
Essentials for Financial Statements Analysis
The analysis of financial data employs various techniques to emphasize the
comparative and relative importance of the data presented and to evaluate the
position of the firm.
These techniques include ratio anal
Depreciation is the diminution in the financial value of an asset owing to
wear and tear, efflux of time, obsolescence or similar causes.
Depreciation is a permanent continuing and gradual shrinkage in the value
of a fixed asset. It is also d
Introduction to Accounting Basics
This explanation of accounting basics will introduce you to some basic accounting
principles, accounting concepts, and accounting terminology. Once you become familiar
with some of these terms and concepts, you will fee
ADJUSTMENT IN FINAL ACCOUNT
To ensure that the final accounts disclose the true trading results, it is necessary to lake into account the
whole of the expenses incurred, whether paid or not, and whole of the losses sustained. Likewise the
incomes and gain
Accounting Concepts and Conventions
Accounting concepts and conventions as used in accountancy are the rules and guidelines
by that the accountant lives. All formal accounting statements should be created,
preserved and presented according to
Accounting conventions & accounting process:
1. Double-entry book-keeping one account is debited and the second account is credited
2. Sum of debits = sum of credits
Based on funds flow principle, any tr
INDIAN ACCOUNTING STANDARDS A PERSPECTIVE
The paradigm shift in the economic environment in India during last few years has led to
increasing attention being devoted to accounting standards as a means towards ensuring potent
and transparent financial repo
Question: How do I notify the IRS my address has changed?
There are several ways to tell us your new address:
Methods to Change Your Address
Use your new address on your tax return
Use Form 8822 (.pdf), Change of Address or
Chapter 1 Intro to Financial Statements
9- 3 types of Business Activities
1. Financing Activities
Money comes from creditors. These obligations are liabilities, notes payable or
Can also get funds through common stock. Creditors are paid fir
Case Study: Apple Inc.
Prof: Gerard Mellnick
FINANCIAL ANALYSIS: APPLE INC.
DECEMBER 5, 2013
Per your request, I have prepared the following financial data for Apple inc.