April 7, 2014
An income statement
a. Summarizes the changes in owners equity for a
specific period of time
b. Reports the changes in assets, liabilities and
owners equity over a period of time.
c. Reports the assets, liabili
July 21, 2014
The buyer and seller must agree on who is
responsible for paying any freight costs and who
bears the risk of loss during the transit for
FOB (free on board) point the point of transfer
Exercise 2-1 Review Questions
1. What is a statement of financial position?
A statement of financial position, which can also be referred to as a balance sheet, is one
of the main types of financial statements. It presents an entitys assets, liabilities,
The Case of Rosario Deang
Because of her talent, Rosario Deang previously decided to enter a designing and
dressmaking class. Later on, she became adept in the field. She began by being able to sew
curtains, pillow covers, table runners and baby dresses.
Individual Business Case: Beyond Repair
The main purpose of accounting is to present an analysis of a companys financial
performance to interested users. To produce efficient material, the accounting
profession depends upon principles. The presence of the