Questions from Financial Accounting

Q: Explain the difference between gains and revenues.

Explain the difference between gains and revenues.

Q: In Year 1, Image Incorporated sold land for $82,

In Year 1, Image Incorporated sold land for $82,000 cash. The land had originally cost $50,000. Also, Image sold inventory that had cost $176,000 for $265,000 cash. Operating expenses amounted to $41,...

Q: Explain the difference between losses and expenses.

Explain the difference between losses and expenses.

Q: Suda Company sold land that cost $40,000 for $

Suda Company sold land that cost $40,000 for $37,000 cash. Explain how this transaction would be shown on the statement of cash flows.

Q: What information does inventory turnover provide?

What information does inventory turnover provide?

Q: What is an example of a business that would have a high

What is an example of a business that would have a high inventory turnover? A low inventory turnover?

Q: Consider the following events: 1. A petty cash fund

Consider the following events: 1. A petty cash fund of $200 was established on April 1, Year 1. 2. Employees were reimbursed when they presented petty cash vouchers to the petty cash custodian. 3. On...

Q: What is the purpose of independent verification of performance?

What is the purpose of independent verification of performance?

Q: What information is provided by the net income percentage (return-

What information is provided by the net income percentage (return-on-sales ratio)?

Q: Crossroads Eye Care Company purchased $60,000 of equipment on

Crossroads Eye Care Company purchased $60,000 of equipment on March 1, Year 1. Required: a. Compute the amount of depreciation expense that is deductible under MACRS for Year 1 and Year 2, assuming t...