Download PDF by Paul D. Kimmel: Financial Accounting: Tools for Business Decision Making,

By Paul D. Kimmel

ISBN-10: 1118162285

ISBN-13: 9781118162286

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Starting with the massive photograph of economic statements first, Paul Kimmel indicates scholars why monetary accounting is necessary to their daily lives, enterprise majors, and destiny careers.  This best-selling monetary accounting textual content is understood for the main appropriate and straightforward to appreciate examples, whereas educating scholars the accounting cycle in the course of the lens of 1 constant tale of Sierra Corp, an out of doors event company.

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Extra info for Financial Accounting: Tools for Business Decision Making, 7th Edition

Example text

SIERRA CORPORATION Income Statement For the Month Ended October 31, 2014 Revenues Service revenue Expenses Salaries and wages expense Rent expense Supplies expense Depreciation expense Interest expense Insurance expense Total expenses Net income Ethics Note When companies find errors in previously released income statements, they restate those numbers. Perhaps because of the increased scrutiny shortly after Sarbanes-Oxley was implemented, companies filed a record 1,195 restatements. $10,600 $5,200 900 1,500 40 50 50 7,740 $ 2,860 Why are financial statement users interested in net income?

Identify each of the following organizational characteristics with the organizational form or forms with which it is associated. 1. Easier to raise funds. 2. Simple to establish. 3. No personal legal liability. 4. Tax advantages. 5. Easier to transfer ownership. Solution 1. 2. 3. 4. 5. Easier to raise funds: Corporation. Simple to establish: Sole proprietorship and partnership. No personal legal liability: Corporation. Tax advantages: Sole proprietorship and partnership. Easier to transfer ownership: Corporation.

It shows the amount of cash at the beginning of the period, the sources and uses of cash during the period, and the $78,612,000 of cash at the end of the period. The ending amount of cash shown on the statement of cash flows must agree with the amount of cash on the balance sheet. Study these interrelationships carefully. To prepare financial statements, you must understand the sequence in which these amounts are determined and how each statement impacts the next. FINANCIAL STATEMENTS Do it! CSU Corporation began operations on January 1, 2014.

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Financial Accounting: Tools for Business Decision Making, 7th Edition by Paul D. Kimmel


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