Explain the financial statement effects, Finance Basics

Attached is the file for your bond problem. Your group must use the following for the bond problem.

In addition, using the general ledger software as described in the project instructions, your group must prepare P16-2A. Follow all instructions and answer all questions. In addition, you MUST provide a one page write up analyzing the resulting financial statement that the problem asks for. Be sure to discuss at least 4 of the ratios in Chapter 18 in your analysis.

You have been asked by the handsome CFO of Browning Teaching Charity to explain the financial statement effects of amortizing premiums and discounts on bonds using the effective interest method of amortization instead of the straight-line method. Draft a memorandum to respond to Mr. Browning's request. Include in the memorandum a discussion of which method is in accordance with generally accepted accounting principles and appropriate financial statement presentation. You should utilize at least one authoritative accounting prounouncement found in the FASB codification.

Posted Date: 3/25/2013 5:16:43 AM | Location : United States







Related Discussions:- Explain the financial statement effects, Assignment Help, Ask Question on Explain the financial statement effects, Get Answer, Expert's Help, Explain the financial statement effects Discussions

Write discussion on Explain the financial statement effects
Your posts are moderated
Related Questions
Bates, inc. pays a dividend of $1.25 and is currently selling for $36.95. If investors require a 12% return on their investment, what growth rate would Bates Inc. have to provide t

Tests of Term Structure of Interest Rates Theories Various tests have been conducted mainly in USA and they show that all the three (3) theories have some validity and therefo

You are asked to select three variables for a sensitivity analysis of weighted average cost of capital, what would you choose and why? Weighted average cost of capital is th

Factors contribute to increasing the profitability of a business Several other factors contribute to increasing the profitability of a business. For companies that are highly d

Important Points for Shareholders and Creditors 1. In raising capital, the borrowing firm will constantly question the financial securities in form of preference shares

Valuation of Business A business may be valued for different type of reasons that as for merger, acquisition, or takeover or liquidation or outright sale.  During purchasing a

Valuation of Securities The previous methods were perfect for valuing the entire business however it is also essential to ascertain the value of part of a business namely shar

Plastic Money or Credit Card Finance This is finance of a kind whereby a company will make arrangements for the use of the services of credit card organizations via the purcha

Determine the Functions of New Issue Market The key function of new issue market is to facilitate transfer resources from savers to the users. Savers are individuals, insura

Functions of the Financial Markets Functions of the Financial Markets or Institutions in Economy 1. Allocation of financial resources to the mainly productive units. Saving