This is a comprehensive problem all contained on this spreadsheet tab.
On 1/1/2015, Starburst Company issued 10-year bonds with a face value of $500,000 at 102. The bonds carry a stated inte
interest payable semi-annually on January 1 and July 1. Starburs
What are accounting principles?
Accounting principles are the common rules that must be followed when
preparing financial statements that will be distributed to people outside of the company
(or other organization).
The accounting principles include the b
What is a liability account?
A liability account is a general ledger account in which a company records its debt,
obligations, customer deposits and customer prepayments, certain deferred income taxes, etc.
that are the result of a past transaction. Commo
How should I study accounting?
Here are eight suggestions on how to study accounting:
Stay current. Don't skip class, don't skip an assignment. Not only
are accounting concepts related, they build on earlier concepts.
What is the statement of cash flows?
The statement of cash flows is one of the main financial statements. It is to accompany the
income statement, balance sheet, and statement of stockholders' equity. The statement of cash
flows (also known as the cash fl
What is payroll accounting?
Payroll accounting involves a company's recording of its employees' compensation including:
gross wages, salaries, bonuses, commissions, and so on that have
been earned by its employees
withholding of payroll taxes such as fede
What is the operating cycle?
The operating cycle is also known as the cash conversion cycle. In the context of a
manufacturer the operating cycle has been described as the amount of time that it takes for a
manufacturer's cash to be converted into product
What are sundry expenses?
In accounting and bookkeeping, sundry expenses are expenses that are small in
amount and do not occur often. Since these items are not significant, a company might use
one general ledger account with the title Sundry Expenses for
What is a general ledger?
A general ledger is a grouping of perhaps hundreds of accounts that are used to sort and
store information from a company's business transactions. The general ledger is organized as
balance sheet accounts (assets, liabil