Questions from Intermediate Accounting

Q: The New York Knicks, Inc. sold 10,000 season

The New York Knicks, Inc. sold 10,000 season tickets at $2,000 each. By December 31, 2012, 16 of the 40 home games had been played. What amount should be reported as a current liability at December 31...

Q: What is working capital? How does working capital relate to the

What is working capital? How does working capital relate to the operating cycle?

Q: State the generally accepted accounting principle applicable to the balance sheet valuation

State the generally accepted accounting principle applicable to the balance sheet valuation of each of the following assets. (a) Trade accounts receivable. (b) Land. (c) Inventories. (d) Trading secur...

Q: Refer to the definition of assets. Discuss how a leased building

Refer to the definition of assets. Discuss how a leased building might qualify as an asset of the lessee (tenant) under this definition.

Q: Kathleen Battle says, “Retained earnings should be reported as an

Kathleen Battle says, “Retained earnings should be reported as an asset, since it is earnings which are reinvested in the business.” How would you respond to Battle?

Q: Wayne Rogers, an administrator at a major university, recently said

Wayne Rogers, an administrator at a major university, recently said, “I’ve got some CDs in my IRA, which I set up to beat the IRS.” As elsewhere, in the world of accounting and finance, it often helps...

Q: Net income for the year for Tanizaki, Inc. was $

Net income for the year for Tanizaki, Inc. was $750,000, but the statement of cash flows reports that cash provided by operating activities was $860,000. Tanizaki also reported capital expenditures of...

Q: What are some of the techniques of disclosure for the balance sheet

What are some of the techniques of disclosure for the balance sheet?

Q: What is the relationship between current assets and current liabilities?

What is the relationship between current assets and current liabilities?

Q: Thomas Corporation’s adjusted trial balance contained the following liability accounts at December

Thomas Corporation’s adjusted trial balance contained the following liability accounts at December 31, 2012: Bonds Payable (due in 3 years) $100,000; Accounts Payable $72,000; Notes Payable (due in 90...