Apr 13, 2018 | Accounting
A cost accounting system should provide cost figures that will enable management to make decisions such as the following for each type of goods manufactured: How profitable is the product at present prices? Can it be profitably produced to sell at a different price?...Mar 20, 2018 | Accounting
What is the purpose of statement of cash flows? According to the Financial Accounting Standards Board, the purpose of the statement of cash flows is to provide information about cash receipts and payments. Information about the operating, investing and financing...Mar 15, 2018 | Accounting
Purchase method is one method of accounting for acquisition of one company by another. This method is used when the stock of a subsidiary is acquired by cash payment. It is also used when a parent issues bonds payable or capital stock to acquire the stock of a...Mar 12, 2018 | Accounting
Consolidation is the presentation as one economic entity of the financial statements of a parent and subsidiary subsequent to the date of acquisition. A corporation which owns more than 50% of the common stock of another corporation is known as a parent company. A...