User Account

All Pages

Provide an example of when reclassifying a long term

Assignment Help Accounting Basics
Reference no: EM13389717

The current ratio measures the degree to which current assets cover current liabilities. A high ratio indicates a good probability that the company can retire current debt.

When long term debt exceeds stockholder's equity, the current ratio will fall. What effect will reclassifying a long term investment into cash within one year have on the current ratio? Is a firm's true financial position stronger as a result of reclassifying investments? What are the ethical ramifications of re-classifying investments?

Provide an example of when reclassifying a long term investment as short term investment makes financial sense for company.

Reference no: EM13389717

Questions Cloud

In preparing the statement of cash flows conversion of : 1. in preparing a statement of cash flows a conversion of bonds into common stock will be reported ina. the financing
A 20 year old student wants to save 3 a day for her : a 20 year old student wants to save 3 a day for her retirement. everyday she places 3 in a drawer. at the end of each
Write down the differences between corporate : what are the differences between corporate responsibility and corporate philanthropy? explain how a business benefits
The main principal objective of utilization management is : to support your work provide references for the citations in apa format.utilization managementthe principal objective
Provide an example of when reclassifying a long term : the current ratio measures the degree to which current assets cover current liabilities. a high ratio indicates a good
You will create a complete marketing plan by the end of the : throughout this class you have examined a product of the waters bottling company and addressed market concepts theories
Why would the country eliminate trade restrictions and : why would a country eliminate trade restrictions and encourage free trade? using the european union as an example
Rview the income statement and balance sheet of selected : in this assignment you will use the internet and other sources to gather and interpret information related to service
Explain how will you outsource write down the key benefits : you are the ceo of abc dress shirt corporation. competition is reducing your market shares and therefore reducing your

Reviews

Write a Review

Accounting Basics Questions & Answers

  Financial statement fraud

Discuss whether or not the Sarbanes-Oxley Act has decreased financial statement fraud and eliminated corruption on Wall Street. Support the answer.

  What is effect of a bargain purchase option on accounting

So what is the effect of a bargain purchase option on accounting for a capital-lease transaction by a lessee?

  Direct write-off method of accounting problem

Journalize the following transactions using the direct write-off method of accounting for uncollectible receivables.

  Amortization expense for the current year

What is Bethany' amortization expense for the current year, rounded to the nearest whole dollar?

  Determine lear earnings after taxes under financing plan

Lear Co. wishes to finance all fixed assets and half of its permanent current assets with long-term financing. Lear's earnings before interest and taxes are $250,000. Determine Lear's earnings after taxes under this financing plan.

  Foreign currencies into u.s. dollars

What are the two methods used to convert trial balances from foreign currencies into U.S. dollars? Describe the situations when you would use each method.

  Weighted-average method for accounting for units and costs

Compute the equivalent units of production for materials and conversion costs for the first department for October, assuming that the company uses the weighted-average method for accounting for units and costs:

  Company margin of safety in dollars

The following is last month's contribution format income statement: What is the company's margin of safety in dollars?

  Business assets or capital assets during the year

Mr. Green seeks your advice as to the tax consequences attached to each offer. Assume that he will no other sale of business assets or capital assets during the year. What is your advice?

  What interest rate is implicit in this offer

A finance company advertise that it will pay kump sum of rs 10000 at the end of 6 years to investor who deposit annually Rs1000. what interest rate is implicit in this offer?

  Bonds converted into preferred stock

Each $1,000 bond is convertible into 20 shares of preferred stock of par value of $50 per share. All bonds are converted into preferred stock. Assuming that the book value method was used, what entry would be made?

  Why is cost accounting so important to the success of the

why is cost accounting so important to the success of the firm? what are the various methods of cost accounting and how

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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