Define use of equity accounting and discus the comments

Assignment Help Accounting Basics
Reference no: EM13126174

Some commentators have criticized the use of equity accounting on the basis that it can be used as a form of off balance sheet financing. Explain the reasoning behind the use of equity accounting and discus the comments.

Reference no: EM13126174

Questions Cloud

What amount of direct material was included in this job : Bobcat Company uses a job-order costing system. During April, the following costs appeared in the work in Process Inventory account: Beginning balance $24,000, Direct material used 70,000, direct labor incurred 60,000, applied overhead 48,000, cos..
Find scatter plot matrix and the correlation matrix : Total square footage (X4) (columns in the data file are in that order). (a) Obtain the scatter plot matrix and the correlation matrix. Interpret these and state your principal findings.
Preparing a well organized and formatted schedule : Sue ask for you to prepare a well organized and formatted schedule showing what the variable manufacturing cost is as a percentage of total sales for each of the three product sales for 2007.
Explain ph of solution during titration process : PH of solution during titration process, Q1: What is the pH of a 0.35 M solution of a weak acid HA with Ka = 1.41×10^-8?
Define use of equity accounting and discus the comments : Some commentators have criticized the use of equity accounting on the basis that it can be used as a form of off balance sheet financing. Explain the reasoning behind the use of equity accounting and discus the comments.
Explain how much of the reimbursement must he include : Assume that Aaron’s other itemized deductions in 2011 were $6,300 and that he filed as a head of household. Explain how much of the $1,300 reimbursement must he include in gross income in 2012?
How many moles of agno3 would be required : Na3PO4 + 3AgNO3 = Ag3PO4 + 3NaNO3 How many moles of AgNO3 would be required to react with 2.0 mol of Na3PO4.
Determine the predetermined overhead rate for year 2011 : In December 2010, Gomez Company's manager estimated next year's total direct labor cost assuming 50 persons working an average of 2,000 hours each at an average wage rate of $15 per hour. The manager also estimated the following manufacturing over..
State multiple regression equation-slopes in equation : State the multiple regression equation. Interpret the meaning of the slopes in the equation. Predict the salary for a 40-year-old male employee with 5 years of experience.

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Under equity method-subsidiary debt

Under the equity method, a parent company that has guaranteed all of its subsidiary's debt would:

  Differentiate restricted funds in nonprofits and governments

Differentiate between accounting for restricted funds in nonprofits and governments. Examine some of the possible reasons GASB issued statement 54 clarifying the reporting and classification of funds for governmental accounting.

  What is the minimum acceptable selling price of material

what is the minimum acceptable selling price of material L to the company that could use material L in its own production process?

  Economic order quantity-ordering costs

Monthly demand for an inventory item currently averages 160 units. The annual carrying cost is $10 per unit. Ordering cost is $60 per order. This information applies to all of the questions on this page.

  Depreciation expense for the current year

The second was furniture with an original basis of $24,000 placed in service during the first quarter, currently in the fourth year of depreciation, and under the mid-quarter convention. What is Bonnie Jo's depreciation expense for the current yea..

  What amount of unrealized gain or loss

On January 1, 2011, Ross Corporation issued bonds with a maturity value of $200,000; the bond's stated rate of interest equaled the market interest rate on the issue date.

  Corporations total variable cost

At an activity level of 2400 units, kloster corporation's total variable cost is $118,008 and its total fixed cost is $9000.

  Lbj company internal control

Explain the impact on internal controls if a company decides to "go public." What is the company doing right? Should they buy the indelible ink machine? What is the company is doing wrong? Make recommendations for improvement. Be sure to reference th..

  How much cost is acceptable to incur in order to test

What's the difference between random error resulting from manual processing and systematic error resulting from IT processing?

  Determine the impact of the embezzlement

predict what the probability would be of this situation happening again. Then, suggest what management can do to prevent future embezzlement. Provide specific examples to support your response.

  Consolidation of cash-detailed solution-aedion company

Aedion Company owns control over Breedlove, Inc. Aedion reports sales of $300,000 during 2004 while Breedlove reports $200,000. Inventory costing $20,000 was transferred from Breedlove to Aedion (upstream) during the year for $40,000.

  What information do you give to the client

When you request the additional information from the client, she tells you that she has no more documentation and that is all you can be given.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd