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Accounting Terminology

Explain the accounting issues and methods for the following:

1. cash, inventory, and accounts receivable. Include a discussion for how inventory costing assumptions influence the resulting accounting numbers.

2. buildings and equipment. Include a discussion for how the depreciation schedule chosen influences the resulting accounting numbers.

3. Appreciate different depreciation schedules, and cost inventory - FIFO/LIFO.

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Explain the accounting issues and methods for the followings:

1. Cash, Inventory, and Accounts Receivable. Include a discussion for how inventory costing assumptions influence the resulting accounting numbers.
The amount of cash in hand at the balance sheet date and the amount of balance at the various bank accounts are recorded under the heading cash in the balance sheet. In case of inventory, the amount of inventory is dependent on the method of valuing the inventory. If the prices of the inventory are rising, the amount of profit will be shown high in case first in first out method is followed as the cheaper raw materials are used first and ...

Solution Summary

This solution provides a detailed explanation of the given accounting topics, including: cash, inventory, accounts receivable, buildings and equipment, depreciation schedules, and cost inventory.

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