Purchase Solution

Finance & Accounting

Not what you're looking for?

Ask Custom Question

Finance & Accounting
Answer the following:
1. What three accounting statements help the manager monitor a firm's performance? What can the balance sheet tell the firm about its assets and financial structure?

2. What are three types of business organizations? Explain briefly.

3. Calculate the annual depreciation charges, assuming no salvage value and depreciation life of years, for an asset bought for $200,000 using the following two method:
a. Straight-line method b. Double-declining

4. Is a dollar today worth more than a dollar next year if the annual rate of inflation is zero? Explain briefly.

5. If the dispersion of the returns of project A is large and that for project B is narrow, which is the riskier project and why?

6. For each of the following identify the type of account as:
a. Asset, liability, equity, revenue, or expense
b. Debit or credit
Items Type of account Debit(Dr.) or Credit(Cr.)
Unearned Revenue
Accounts Payable
Postage Expense
Prepaid Insurance
Land
Common Stock
Accounts Receivable
Retained Earnings
Cash
Equipment
Fees Earned
Wages Expense

Attachments
Purchase this Solution
Solution Summary

The expert examines finance and accounting. The types of business organizations are determined.

Solution Preview

Please see the attached.

Finance & Accounting
Answer the following:
1. What three accounting statements help the manager monitor a firm's performance? What can the balance sheet tell the firm about its assets and financial structure?
Income statement: The income statement depicts how much profit or loss a firm incurs and what are the expenses incurred in selling products.

Balance sheet: The balance sheet shows how a firm is allocating its funds to various assets and how it generates funds from internal and external sources.

Cash flow statement: It traces inflows and outflows of cash for operating, investing and financing purposes.

Balance sheet is defined by the equation assets = liabilities + stockholders' equity
It is an important snapshot of company's capital structure and tells about firm's assets and financial structure. Balance sheet divides assets into current assets and fixed assets. Current assets are short-term assets which are used by a company for a short duration (less than one year) while fixed assets are long term assets. A company which has more current assets has a better position in the short term over companies which have lesser current assets. Similarly, a company which has more fixed assets is an asset intensive company. ...

Purchase this Solution
Free BrainMass Quizzes
Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

MS Word 2010-Tricky Features

These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.

Learning Lean

This quiz will help you understand the basic concepts of Lean.

Basics of corporate finance

These questions will test you on your knowledge of finance.

View More Free Quizzes
Related BrainMass Solutions

  • Health Care Financial Management

    It encompasses corporate finance and management accounting. Financial management is based on three disciplines: financial accounting, managerial accounting, and managerial finance.

  • Overview of Public Finance

    199838 Overview of Public Finance Prepare a 750-1,000-word paper in which you do the following: a. Explain the philosophy of public finance. b. Contrast governmental accounting with nongovernmental accounting. c.

  • Relevance of ethics in finance and accounting

    196708 Relevance of ethics in finance and accounting Why is ethics relevant in finance and accounting? Give an example. Ethics plays a very critical role in the field of finance and accounting.

  • Financial Accounting, Management Accounting, and Finance

    156405 Financial Accounting, Management Accounting, and Finance What are financial accounting, management accounting, and finance? How are they similar and different? Financial accounting is an external accounting function.

  • List and describe three accounting and finance features for limited companies?

    156410 List and describe three accounting and finance features for limited companies? List and describe three accounting and finance features for limited companies? How is accounting and financial reporting regulated in your country?

  • Accounting Vs. Financial Break-Even Points

    Therefore, it is better for the finance manager to see not only the accounting break-even point but also the finance break-even point. This posting involves accounting versus financial break-even points.

  • Accounting: Differences between managerial and financial.

    390359 What are financial accounting, management accounting, and finance? How are they similar and different? What are financial accounting, management accounting, and finance? How are they similar and different?

  • Functions performed by Accounting, Finance and CPA firms

    133393 Functions Performed by Accounting, Finance and CPA Firms Explain the differences in functions between the Accounting Department of a firm, its Finance Department and its outside accounting firm.

  • The Information Systems Department

    Information systems play the very important role of collecting pertinent numerical data in respect to the accounting and finance information within the accounting and finance departments within an organization.

  • Discuss the finance and investment cycle

    294492 Discuss the finance and investment cycle Discuss the finance and investment cycle. What are some common errors and fraud found when accounting for capital transactions and investments?

View More Related Solutions