Questions from Financial Accounting

Q: In an article published in the Journal of Accountancy, James Deitrick

In an article published in the Journal of Accountancy, James Deitrick and Walter Harrison noted that the major markets for common stocks (e.g., the New York Stock Exchange, the American Stock Exchange...

Q: Baruch Lev, a well-respected accounting professor at New York

Baruch Lev, a well-respected accounting professor at New York University's Stern School of Business, has commented about the lack of relevance in today's financial statements. He notes that the 500 la...

Q: Billionaire investor Warren Buffett was once quoted in the Financial Post as

Billionaire investor Warren Buffett was once quoted in the Financial Post as saying, "The reaction of weak management to weak operations is often weak accounting." INSTRUCTIONS: What does he mean? Pro...

Q: An accounting professor at the University of California at Berkeley was once

An accounting professor at the University of California at Berkeley was once quoted in the Wall Street Journal as saying, The most important items on the financial statements are trends in inventory,...

Q: Apple, Inc., reported the following in its 2019 financial statements

Apple, Inc., reported the following in its 2019 financial statements (amounts in millions): Note 2 Restricted Cash The company's restricted cash consists primarily of cash required to be on deposit un...

Q: In a press release discussing third-quarter financial results, the

In a press release discussing third-quarter financial results, the construction management and consulting firm Hill International specifically cited an increase in bad debt expense as a drag on otherw...

Q: An article in Forbes noted that "accounting rules . .. can

An article in Forbes noted that "accounting rules . .. can often change the way companies do business." Under the accounting rule covering receivables and payables denominated in foreign currencies, f...

Q: You can review the Disney SEC Form 10-K by searching

You can review the Disney SEC Form 10-K by searching for "Disney Annual Report" online. INSTRUCTIONS: Review the 2019 SEC 10-K Form for Disney, and answer the following questions: a. Compute the chang...

Q: The footnotes to the 2019 financial statements of Citigroup, the holding

The footnotes to the 2019 financial statements of Citigroup, the holding company for Citibank, contained the following information (dollars in millions). "Provision for credit losses" refers to bad de...

Q: The Wall Street Journal reported that an analyst with the Center for

The Wall Street Journal reported that an analyst with the Center for Financial Research and Analysis found an interesting item in an earnings report from New Century Financial Corporation, a mortgage...