Accounting Categories (Debit and Credit Balances) - Financial Accounting (FAC)
All for this textbook (33)
Written for
Hanzehogeschool Groningen (Hanze)
International Business and Management Studies
FAC2
All documents for this subject (13)
Seller
Follow
amy5430
Reviews received
Content preview
Current Liabilities
Chapter Number Chapter 10
📖 Table of Contents
Outline
10.1 Accounting for Current Liabilities
Notes Payable
Issuing an interest-bearing note
Accrual of interest
Recording payment at Maturity
Value-Added and Sales Taxes Payable
Value-Added Taxes Payable
Sales Taxes Payable
Unearned Revenues
Recording the receiving of the advance payment
Recognising the Revenue
Salaries and Wages
Payroll Deductions
Current Maturities of Long-Term Debt
10.2 Reporting and Analyzing Current Liabilities
Reporting Uncertainty (Provisions)
Recognition of a Provision
Reporting a Provision
Reporting of Current Liabilities
Analysis of Current Liabilities
Current Liabilities 1
, 10.1 Accounting for Current Liabilities
The different types of current liabilities include:
notes payable
accounts payable
unearned revenues
accrued liabilities
taxes
salaries and wages
interest payable
Notes Payable
assume that First Hunan Bank agrees to lend ¥100,000 on September 1, 2020, if Yang
Enterprises signs a ¥100,000, 12%, four-month note maturing on January 1 (amounts in
thousands).
Issuing an interest-bearing note
Accrual of interest
Interest = Note Face Value ∗ Annual Interest Rate ∗ Time in Terms of 1 Year
4
¥100, 000 ∗ 0.12 ∗ = ¥4, 000
12
statement of financial position
→ notes payable ¥100,000
Current Liabilities 2
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller amy5430. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $7.27. You're not tied to anything after your purchase.