100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Solution Manual For Intermediate Accounting, 11th Edition by David Spiceland, Mark Nelson, Verified Chapters 1 - 21 & Appendix A, Complete Newest Version $18.99   Add to cart

Exam (elaborations)

Solution Manual For Intermediate Accounting, 11th Edition by David Spiceland, Mark Nelson, Verified Chapters 1 - 21 & Appendix A, Complete Newest Version

 8 views  0 purchase
  • Course
  • Intermediate Accounting, 11th Edition
  • Institution
  • Intermediate Accounting, 11th Edition

Solution Manual For Intermediate Accounting, 11th Edition by David Spiceland, Mark Nelson, Verified Chapters 1 - 21 & Appendix A, Complete Newest Version

Preview 4 out of 70  pages

  • September 2, 2024
  • 70
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
book image

Book Title:

Author(s):

  • Edition:
  • ISBN:
  • Edition:
  • Intermediate Accounting, 11th Edition
  • Intermediate Accounting, 11th Edition
avatar-seller
AGRADEPROMASTER
SolutionmManualmFormIntermediatemAccounting,m11thmEditio
nmbymDavidmSpiceland,mMarkmNelson,mWaynemThomas,mJenni
fer

,Chapterm1mEnvironmentmandmTheoreticalmStructure
m FinancialmAccounting

Questionm1–1
Financialmaccountingmismconcernedmwithmprovidingmrelevantmfinancialminfor
mationmaboutmvariousmkindsmofmorganizationsmtomdifferentmtypesmofmexternalmus
ers.mThemprimarymfocusmofmfinancialmaccountingmismonmthemfinancialminformatio
nmprovidedmbymprofit-
morientedmcompaniesmtomtheirmpresentmandmpotentialminvestorsmandmcreditors.

Questionm1–2
Resourcesmaremefficientlymallocatedmifmtheymaremgivenmtomenterprisesmthatm
willmusemthemmtomprovidemgoodsmandmservicesmdesiredmbymsocietymandmnotmtom
enterprisesmthatmwillmwastemthem.mThemcapitalmmarketsmaremthemmechanismmthat
mfostersmthismefficientmallocationmofmresources.

Questionm1–3
Twomextremelymimportantmvariablesmthatmmustmbemconsideredminmanyminves
tmentmdecisionmaremthemexpectedmratemofmreturnmandmthemuncertaintymormriskmo
fmthatmexpectedmreturn.

Questionm1–4
Inmthemlongmrun,mamcompanymwillmbemablemtomprovideminvestorsmandmcredi
torsmwithmamratemofmreturnmonlymifmitmcanmgeneratemamprofit.mThatmis,mitmmustm
bemablemtomusemthemresourcesmprovidedmtomitmtomgeneratemcashmreceiptsmfromms
ellingmamproductmormservicemthatmexceedmthemcashmdisbursementsmnecessarymtom
providemthatmproductmormservice.

Questionm1–5
Themprimarymobjectivemofmfinancialmaccountingmismtomprovideminvestorsman
dmcreditorsmwithminformationmthatmwillmhelpmthemmmakeminvestmentmandmcredit
mdecisions.

Questionm1–6
Netmoperatingmcashmflowsmaremthemdifferencembetweenmcashmreceiptsmandmc
ashmdisbursementsmduringmamperiodmofmtimemfrommtransactionsm relatedmtomprovi
dingmgoodsmandmservicesmtomcustomers.mNetmoperatingmcashmflowsmmaymnotmbe
mamgoodmindicatormofmfuturemcashmflowsmbecause,mbymignoringmuncompletedmtra
nsactions,mtheymmaymnotmmatchmthemaccomplishmentsmandmsacrificesmofmthemper
iod.

,Questionm1–7
GAAPm(generallymacceptedmaccountingmprinciples)maremamdynamicmsetm ofm
bothmbroadmandmspecificmguidelinesmthatmamcompanymshouldmfollowminmmeasuri
ngmandmreportingmtheminformationminmtheirmfinancialmstatementsmandmrelatedmnot
es.mItmismimportantmthatmallmcompaniesmfollowmGAAPmsomthatminvestorsmcanmco
mparemfinancialminformationmacrossmcompaniesmtommakemtheirmresourcemallocati
onmdecisions.

Questionm1–8
Inm1934,mCongressmcreatedmthemSECmandmgavemitmthemjobmofmsettingmacco
untingmandmreportingmstandardsmformcompaniesmwhosemsecuritiesmarempubliclymtr
aded.mThemSECmhasmretainedmthempower,mbutmhasmreliedmonmprivatemsectormbodi
esmtomcreatemthemstandards.mThemcurrentmprivatemsectormbodymresponsiblemformse
ttingmaccountingmstandardsmismthemFASB.

Questionm1–9
Auditorsmaremindependent,mprofessionalmaccountantsmwhomexaminemfinancial
mstatementsmtomexpressmanmopinion.mThemopinionmreflectsmthemauditors‘massessm
entmofmthemstatements'mfairness,mwhichmismdeterminedmbymthemextentmtomwhichm
theymarempreparedminmcompliancemwithmGAAP.mThemauditormaddsmcredibilitymto
mthemfinancialmstatements,mwhichmincreasesmthemconfidencemofmcapitalmmarketmp
articipantsmrelyingmonmthatminformation.

, Questionm1–10
Keymprovisionsmincludedminmthemtextmare:
 CreationmofmthemPublicmCompanymAccountingmOversightmBoard
 Regulatemtypesmofmnon-auditmauditmservices
 Requiremleadmauditmpartnermrotationmeverym5myear
 Corporatem executivem accountability
 Addressesmconflictsmofminterestmformsecuritymanalysts
 Internalmcontrolmreportingmandmauditormopinionmaboutmcontrols

Questionm1–11
Newmaccountingmstandards,mormchangesminmstandards,mcanmhavemsignificant
mdifferentialmeffectsmonmcompanies,minvestorsmandmcreditors,mandmotherminterestm
groupsmbymcausingmredistributionmofmwealth.m Theremalsomismthempossibilitymthat
mstandardsmcouldmharmmthemeconomymasmamwholembymcausingmcompaniesmtomch
angemtheirmbehavior.

Questionm1–12
ThemFASBmundertakesmamseriesmofmelaborateminformationmgatheringmstepsm
beforemissuingmanmaccountingmstandardmtomdeterminemconsensusmasmtomthemprefe
rredmmethodmofmaccounting,masmwellmasmtomanticipatemadversemeconomicmconse
quences.

Questionm1–13
ThempurposemofmthemconceptualmframeworkmismtomguidemthemBoardminmdev
elopingmaccountingmstandardsmbymprovidingmanmunderlyingmfoundationmandmbasi
cmreasoningmonmwhichmtomconsidermmeritsmofmalternatives.m Themframeworkmdoe
smnotmprescribemGAAP.

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

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

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

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 AGRADEPROMASTER. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $18.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

82215 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$18.99
  • (0)
  Add to cart