Income Statement Essay Examples

The Accounting Standards as per their 2011-12 Annual Report are- 1. AS 1: Disclosure of Accounting Policies- It deals with disclosure of Accounting Principles and policies used for preparation of financial statements of the companies. 2. AS 2: Valuation of Inventories- It deals with determination of amount of inventory to be shown in financial statements. […]

 PART 1 There are 3 years covered in the following primary comparative financial statements, namely fiscal years ended 1 February 2004, 2 February 2003 and 3 February 2002: Consolidated Statement of Earnings Statement of Stockholders Equity and Comprehensive Income Consolidated Statements of Cash Flows There are 2 years covered in the Consolidated Balance Sheet, namely […]

Introduction Sun Microsystems is a leading supplier of computer related products, including servers, workstations, storage devices, and network switches. In the 2001 annual report, a letter to stockholders from the President and CEO Scott G. McNealy offered a remark saying that the fiscal year was ended with a significant revenue growth of 16% and that […]

Events BI > JUNE 2006 What’s Important in an Annual Report Running a Faster Paper Chase by Bob Adams Editor’s note: This article is based on a class taught by Bob Adams at past CompuFest meetings and is just a sample of the excellent education available at the annual event organized by the Computer Group […]

The Four Basic Financial Statements In the field of accounting, the basis of all decisions comes from the calculating and reporting of financial statements. Without these statements, a company may lack in organization skills which could lead to huge errors being made. These huge errors could cost a company millions of dollars. Knowing that, it […]

Introduction to International Accounting Standards: Accounting serves as a way to present the financial information of an organization, by consolidating all its transactions and providing a transparent view of the business. Recording all financial reports is crucial for managers, shareholders, creditors and owners. Despite every country having its own regulations, they follow their respective accounting […]

The asset turnover ratio gauges the efficiency of asset utilization for income generation by management. Proton’s ratio shows little variation from 2005 to 2009, indicating inadequate financial management. The government considers Proton an emerging industry despite its joint ventures and controlling stakes. This coincides with Proton’s contentment with its progress since inception. Question 2 queries […]

The consolidated balance sheets of General Mills, Inc. and subsidiaries as of May 28th 2006 and May 29 2005, and the related consolidated statements of earnings, stockholder’s equity and comprehensive income, and the cash flows for each of the fiscal years in the three – year period ended May 28, 2006 and the report dated […]

This paper seeks to explain why the annual financial statements continue to remain an important source of information to shareholders, despite the fact that they disclose information on past events when shareholders as investors require information about future events. To attain the objective of this paper, there is a need to discuss the nature of […]

SYNOPSIS Generally Accepted Accounting Practice includes statement AC000: Framework for the preparation and presentation of financial statements. This sets out broad and definitive rules governing the recognition of liabilities and income and expenditure in financial statements. Specifically the following paragraphs need to be considered: Recognition of liabilities: Paragraph 91 states that a liability is recognized […]

What assumptions did Mr. Fischer make when he prepared the forecasts? Were these assumptions reasonable? Mr.Fischer made assumptions for both the income statement and the balance sheet. Income statement. We calculate the percentage of variation from one month to another in terms of sales and gross profit. When Mr.Fischer prepared the forecast of his income […]

In this work assignment I have been told to evaluate the problems that occur if the costs and budgets are unmonitored. A simple problem that occurs if we are not monitoring the budget and costs then we will not know how the company is performing. A budget is a set goal and it is something […]

Please respond to all of the following prompts in the class discussion section of your online course: This week you learned about the unearned revenue account. Provide three examples of unearned revenue. Answer: Three examples of unearned revenue would be 1. Prepaid Expense – A year long insurance contract a company paid $12,000 for at […]

Executive Summary This report presents an analysis of The Body Shop PLC’s pro forma financials from 2002-2004 and insights into financial requirements for the company as it moves forward with their new strategies for achieving operational efficiencies and reclaim its brand image as a top manufacturer-retailer in the beauty and personal care industry. We have […]

A company’s product costs are the direct materials, and manufacturing overhead that are involved in acquiring or making products. Products costs are assigned to an inventory account on the balance sheet and considered to be assets. When the goods are sold, the costs are released from inventory and are recognized as expenses in the income […]

The Leslie Fay Companies, a manufacturer of women’s apparel, was founded by Fred Pomerantz and is headquartered in New York. In 1952, Fred Pomerantz made the company public. However, in the 1980’s, his son John Pomerantz bought out the company, leading Fred Pomerantz to take it back to being privately owned for a few years. […]

What columnar sheet of paper is used to summarize information needed to prepare the financial statements of the business? General Journals. Trial Balance General Ledgerd. Worksheet Posting is the process of transferring information from what? Ledger to the financial statements. Ledger to the trial balance Journal to the ledgerd. Journal to the trial balance What […]

For many years, managers at Formosa Plastics Group (FPG) used a management control system with an element that was somewhat unique for a large corporation – all employees were evaluated subjectively. In making their judgments, evaluators looked at objective performance measures but subjectively made many adjustments for factors they deemed to be beyond the employee’s […]

Summary The Hair Emporium is a salon owned and managed by Rolando and Rosa. After years of success, and much research, they have decided to expand their business through franchising. As the hair care industry earns approximately $16 million dollars annually in the US; Rolando and Rosa are sure they will be successful as they […]

Classifying Accounting Items  Current asset  Net revenue in the income statement: a deduction from revenue  Net accounts receivable, a current asset: a deduction from gross receivables  An expense in the income statement. But R&D is usually not a loss to shareholders; it is an investment in an asset. An expense in the income statement, part […]

PRC GAAP, which stands for generally accepted accounting principles of the People’s Republic of China, consists of accounting principles that are derived from various sources. These sources mainly consist of laws and regulations issued by the Ministry of Finance (MOF) and disclosures made by listed companies that are regulated by the China Securities Regulatory Commission […]

This section provides a summary of some of the similarities and differences discussed in more detail on the complete publication. No summary publication can do justice to the many differences of detail that exist between US GAAP, IFRS and Mexican FRS. Even if the guidance is similar, there can be differences in the detailed application, […]