Accounting II Essentials - download pdf or read online

By Duane R. Milano

ISBN-10: 0738671363

ISBN-13: 9780738671369

REA's necessities offer speedy and straightforward entry to serious info in numerous varied fields, starting from the main uncomplicated to the main complicated. As its identify implies, those concise, entire examine courses summarize the necessities of the sector lined. necessities are useful while getting ready for checks, doing homework and should stay a long-lasting reference resource for college kids, academics, and execs. Accounting II contains present liabilities, long term liabilities, bonds, partnerships, organizations, gains and dividends, consolidations, assertion of money flows, and monetary assertion research.

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There is also a fair amount of diversity of terms that really mean the same thing. We will look at a few of these items in this chapter as well as consider dividends and earnings per share (EPS). The major section in a balance sheet dealing with the investment of the owners is likely to be titled many different ways. Some of the more common are Stockholders’ Equity, Owners’ Equity, and Shareholders’ Equity. ” All six terms usually refer to the same thing. ) and the amounts of each are listed first.

1 SMITH CORPORATION AND SUBSIDIARY Worksheet for Consolidated Balance Sheet January 1, 1999 (Date of Acquisition) (in 000’s) Intercompany eliminations include elimination of (1) intercompany debt, (2) intercompany stock ownership, and (3) intercompany revenue and expenses. In the above example, the loan from the parent Smith Corporation to its subsidiary (Jones Corporation) is eliminated from the consolidated balance sheet since the effect would be to artificially inflate the consolidated assets and liabilities.

Interest is payable at maturity and accrues as a rate of 12%. 1. 1 The Sample Company General Journal On June 15, 1999, Smith Corporation repaid the loan plus $3,000 interest ($100,000 × 12% × 90/360). In this instance, a 360-day year is used for interest calculation. 2. 4 LIABILITY FOR SALARIES AND WAGES Employees are rarely paid on a daily basis. Instead, a business accrues liability for payroll between pay dates (usually bi-weekly). The gross amount of wages is relatively easy to calculate, consisting of hours worked multiplied by the hourly wage.

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Accounting II Essentials by Duane R. Milano

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