Premium Essay

Acctg Paper

In: Business and Management

Submitted By sfd65
Words 369
Pages 2
Ghbkhkgg2223543
The third approach is most consistent with the actual substance of sales transactions involving equipment and an extended warranty contract. Revenue from warranty has to be recognized when a period of a warranty is fulfilled. It would be wrong to consider revenue from the sale of an extended warranty or product maintenance contract at the time of sale since the company is still liable or obliged to the customers with the warranty. All are major elements of Partial Revenue Recognition on the sale of extended warranty and product maintenance contracts were applied in the Circuit City case since it was mentioned in the text that the sales has rapidly grew from $705 million in 1986 to $2.1 billion in 1990. This is when the company had introduced the extended warranty contracts and the profit margin form the extended warranty sales were high in comparison to the profit margin from the sale of products. The warranty contract relates to the product sold by Circuit City where the pricing of the sale of the extended warranty is an integral part of pricing the related product The third approach is most consistent with the actual substance of sales transactions involving equipment and an extended warranty contract. Revenue from warranty has to be recognized when a period of a warranty is fulfilled. It would be wrong to consider revenue from the sale of an extended warranty or product maintenance contract at the time of sale since the company is still liable or obliged to the customers with the warranty. All are major elements of Partial Revenue Recognition on the sale of extended warranty and product maintenance contracts were applied in the Circuit City case since it was mentioned in the text that the sales has rapidly grew from $705 million in 1986 to $2.1 billion in 1990. This is when the company had introduced the extended warranty contracts and the profit…...

Similar Documents

Free Essay

Paper

...Paper paper paper paper paper paper paper paper paper paper paper do it do it should could should could should could should could should could should could should could should could should could should could will but for it should should should shuold should should should should should should should Paper paper paper paper paper paper paper paper paper paper paper do it do it should could should could should could should could should could should could should could should could should could should could will but for it should should should shuold should should should should should should should Paper paper paper paper paper paper paper paper paper paper paper do it do it should could should could should could should could should could should could should could should could should could should could will but for it should should should shuold should should should should should should should Paper paper paper paper paper paper paper paper paper paper paper do it do it should could should could should could should could should could should could should could should could should could should could will but for it should should should shuold should should should should should should should Paper paper paper paper paper paper paper paper paper paper paper do it do it should could should could should could should could should could should could should could should could should could should could will but for it should should should shuold should should should should should...

Words: 450 - Pages: 2

Premium Essay

Acctg 301 Study Guide

...paid increases the carrying value of the bond liability * Valuation of LT leases * Leases require the recording of an asset and corresponding liability at the present value of future lease payments * The difference between this and total future cash payments is recorded as interest over the life of the lease. * Valuation of pension obligations * NOTHING CHAPTER 7 Cash and cash equivalents * Cash (most liquid and most easily expropriated asset) * Currency and coins * Balances in checking accounts * Items acceptable for deposit in these accounts (checks or money orders received from customers) * Cash equivalents: * Money market funds * Treasury bills * Commercial paper * Often include credit and debit cars * All must have a maturity date no longer than 3 months from the date of purchase * ST highly liquid investments that can be readily converted to cash with little risk * A company’s policy concerning it’s ST, highly liquid investments it classifies as cash equivalents should be described in the disclosure note * Cash and cash equivalents usually are combined and reported as a single amount in the balance sheet Internal control * Internal controls refer to a company’s plan to * Encourage adherence to a company’s policies and procedures * Promote operational efficiency * Minimize errors and theft * Enhance the reliability and accuracy of......

Words: 5638 - Pages: 23

Premium Essay

Paper

...Paper is Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper is Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper......

Words: 266 - Pages: 2

Premium Essay

Paper

...and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop your cheating and write your paper. Stop......

Words: 596 - Pages: 3

Premium Essay

Paper

...paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper paper......

Words: 347 - Pages: 2

Free Essay

No Paper

...I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add one to this soon. I don’t have a paper to upload, but I will add......

Words: 616 - Pages: 3

Premium Essay

Acctg

...COMPREHENSIVE EXAMINATION A (Chapters 1 - 4) Problem A - I — Multiple Choice (20 points) Circle the one best answer. 1. Cost of goods manufactured during a period is obtained by taking the total manufacturing costs incurred during the period and adding and subtracting the following inventories: Adding Subtracting a. Beginning finished goods inventory Ending finished goods inventory b. Beginning work in process inventory Ending finished goods inventory c. Beginning raw materials inventory Ending work in process inventory d. Beginning work in process inventory Ending work in process inventory 2. Cost of goods sold is equal to a. total manufacturing costs plus beginning work in process less ending work in process. b. cost of goods sold plus beginning work in process less ending work in process. c. total manufacturing costs plus ending work in process less beginning work in process. d. cost of goods manufactured plus beginning finished goods less ending finished goods. 3. Inventory accounts for a manufacturer consists of a. direct materials, work in process, and finished goods. b. direct labor, work in process, and finished goods. c. manufacturing overhead, direct materials, and direct labor. d. work in process, direct labor, and manufacturing overhead. 4. In a process cost system, equivalent units of production are the a. work done on physical units expressed in fully completed units. b. units that are transferred......

Words: 5746 - Pages: 23

Premium Essay

Paper

...Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper, paper, paper, Paper,......

Words: 724 - Pages: 3

Premium Essay

Paper Paper Paper

...Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper P Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper aper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper Paper......

Words: 277 - Pages: 2

Free Essay

Paper

...Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper. Paper paper paper.Paper paper paper.Paper paper paper.Paper paper paper.Paper paper......

Words: 2107 - Pages: 9

Free Essay

Paper

...business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper business paper......

Words: 291 - Pages: 2

Premium Essay

Acctg

...available for sale” of the branch per branch record. a. P 1,297,000 b. P 1,465,000 c. P 1,539,000 d. P 1,767,500 Use the following information for the next two items: Trial balance for the home office and the branch of Terry Company show the following accounts before adjustments on December 31, 2012. The home office policy of billing the branch for merchandise is 20% above cost. Allowance for overvaluation Shipments to branch Purchases (outsiders) Shipments from home office Merchandise Inventory, 12/01/12 Home Office 60,000 240,000 Branch 75,000 270,000 100,000 The branch Merchandise Inventory on December 31, 2012 of P 50,000 includes purchases from outsiders of P 20,000. 23. a. b. c. d. The working paper entry to eliminate profit in the beginning inventory includes debit to Allowance for overvaluation, P 48,000 Branch income, P 5,000 Merchandise Inventory (12/1/2012), P 12,000 Allowance for overvaluation, P 12,000 24. a. b. c. d. The entry on the books of the home office to recognize mark-up includes credit to Allowance for overvaluation, P 5,000 Branch income summary, P 55,000 Branch income summary, P 5,000 Branch income summary, P 52,000 25. The Home office in Mandaluyong shipped merchandise costing P 80,000 to Makati branch and paid for the freight charges of P 600. The home office bills the branch at 125% of cost. Makati branch was subsequently instructed to transfer one-half of the merchandise to......

Words: 6007 - Pages: 25

Premium Essay

Yuuji's Acctg

...STATEMENT OF CASH FLOWS © Written by Professor Gregory M. Burbage, MBA, CPA, CMA, CFM scf.doc Please observe all copyright laws OPERATING INVESTING FINANCING Cash Receipts From: - Sale of goods and services - Interest and dividend income Cash Receipts From: - Sale of property & equipment - Sale of investment securities - Collections on loans receivable Cash Receipts From: - Short-term borrowing - Long-term borrowing - Issuance (sale) of stock Cash Payments For: - Inventory - Wages - Interest - Taxes - All other operating expenses Cash Payments For: - Purchase of property & equipment - Purchase of investments - Making of loans receivable Cash Payments For: - Repayment of amounts borrowed - Dividends to stockholders - Purchase of treasury stock Operating Accounts: Investing Accounts: - All income statement accounts - Long-lived assets - Current assets* - Current liabilities** - Retained earnings change from net income or loss ----------------------- Financing Accounts: - Long-term liabilities - Stockholders’ equity - Retained earnings decrease from dividends paid to owners * except for money loans made and subsequently collected. ** except for money borrowed and subsequently repaid . The following would be shown at the bottom of the statement or mentioned in the footnotes to the financial statements. These are changes to assets, liabilities and/or equity accounts (other than current) that occur......

Words: 296 - Pages: 2

Premium Essay

Acctg

...Chapter 3—Predetermined Overhead Rates, Flexible Budgets, and Absorption/Variable Costing LEARNING OBJECTIVES |LO 1 |Why and how are overhead costs allocated to products and services? | |LO 2 |What causes underapplied or overapplied overhead, and how is it treated at the end of a period? | |LO 3 |What impact do different capacity measures have on setting predetermined overhead rates? | |LO 4 |How are the high-low method and least squares regression analysis used in analyzing mixed costs? | |LO 5 |How do managers use flexible budgets to set predetermined overhead rates? | |LO 6 |How do absorption and variable costing differ? | |LO 7 |How do changes in sales or production levels affect net income computed under | | |absorption and variable costing? | QUESTION GRID |True/False | | | | | | | | | | | |Difficulty Level | |Learning......

Words: 10838 - Pages: 44

Premium Essay

Paper

...PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is expensive and too expensive to use anyway. So why don’t you go on with it and write the constitution. Jon Jacob! PAPER is......

Words: 1082 - Pages: 5

The Avengers | Email a Friend | 31XX / 32XX / 33XX / 34XX / 35XX/ 36XX