Questions from Financial Accounting

Q: The notes to the financial statements of Bayer Group, a German

The notes to the financial statements of Bayer Group, a German pharmaceutical company, report a balance of €154 million for Restructuring Provisions on December 31; for the prior year, the ending bala...

Q: Exhibit 10.4 presents a partial balance sheet for HP3,

Exhibit 10.4 presents a partial balance sheet for HP3, a creator and manufacturer of computer hardware and software and related services, for its fiscal years ending October 31, 2012 and 2013. a. HP3...

Q: The notes to the financial statements of Aggarwal Corporation for 2013 reveal

The notes to the financial statements of Aggarwal Corporation for 2013 reveal the following information with respect to long-term debt. All interest rates in this problem assume semiannual compounding...

Q: When Time Warner Inc. announced its intention to borrow about $

When Time Warner Inc. announced its intention to borrow about $500 million by issuing 20-year zero coupon (single payment) notes, The Wall Street Journal reported the following: New York—Time Warner a...

Q: Exhibit 11.14 presents a bond table for 8%, semiannual

Exhibit 11.14 presents a bond table for 8%, semiannual bonds for various market yields and years to maturity. Don’t overlook that this table presents values for semiannual coupon bon...

Q: Assume that Lentiva Group Limited provided the following description of its revenue

Assume that Lentiva Group Limited provided the following description of its revenue recognition policies in the notes to its financial statements. ■ Lentiva recognizes revenue from the sale of goods (...

Q: Exhibit 11.15 presents excerpts from the notes to the financial

Exhibit 11.15 presents excerpts from the notes to the financial statements of Home Supply Company. a. The amounts shown for Debentures, Notes, and the Medium-Term Notes appear as the same amounts on F...

Q: IBM manufactures a particular computer for $6,000 and sells

IBM manufactures a particular computer for $6,000 and sells it for $10,000. Adair Corporation needs this computer in its operations and contemplates three ways of acquiring it on January 1, 2013. The...

Q: Carom Sports Collectibles Shop plans to acquire, as of January 1

Carom Sports Collectibles Shop plans to acquire, as of January 1, 2013, a computerized cash register system that costs $100,000 and has a five-year life and no salvage value. The company considers two...

Q: Excerpts from the notes to the financial statements of Northern Airlines for

Excerpts from the notes to the financial statements of Northern Airlines for two recent years reveal the following (amounts in millions). Northern Airlines uses the current/old rules of accounting for...