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Q. Explain Vertical analysis?
Vertical analysis demonstrates the percentage that each item in a financial statement is of some significant total such as total assets or sales. For example in the Hewlett-Packard data we can see that cash and cash equivalents were 15.3 percent of total assets as of 1999 October 31 and had declined to 10.0 percent of total assets by 2000 October 31. Whole current assets (cash plus other amounts that will become cash or be used up within one year) increased from 61.3 percent of total assets to 68.3 percent during 2000. Long-term investments as well as other non-current assets accounted for 18.4 percent of total assets as of 2000 October 31.
Q. Illustrate about accounting cycle? The accounting cycle is a series of points performed during the accounting period some throughout the period and some at the end to reco
Q. What are adjusting entries? When you start to analyze business transactions you saw that the evidence of the transaction is typically a source document. It is any printed or
Journal Entries are recorded on a double entry system like debit and credit concept. In order to record a journal entry the following steps require to be followed. ? Enter the J
Q. Illustrate lower-of-cost-or-market method? Procter & Gamble markets a broad range of paper, cleaning, beauty care, health care, food, laundry and beverage products around th
Earned service revenue and received cash As its first transaction in July Metro performed deliverance services for customers and received USD 4800 cash. This transaction improv
A company pays rates annually/yearly in advance on 1 April every year. $4000 is paid by them on 1 April 2009 and $4800 on 1 April year 2010. The company's accounting year end is 31
stpes to be taken prepaing for final accounts
Q. What is Asset cost and Estimated residual value? Asset cost: The asset cost is the sum that a company paid to purchase the depreciable asset. Estimated residual value:
Two techniques of accounting for inventory are perpetual inventory procedure and periodic inventory procedure. Under perpetual inventory procedure the inventory account is constant
Q. Explain about Gross margin method? The steps in computing ending inventory under the gross margin method are - Estimate gross margin based on net sales using the similar
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