Questions from Financial Accounting

Q: A large retailer was sued nearly 5,000 times in a

A large retailer was sued nearly 5,000 times in a recent year—about once every 2 hours every day of the year. It has been sued for everything imaginable—ranging from falls on icy parking lots to injur...

Q: Holding all other factors constant, indicate whether each of the following

Holding all other factors constant, indicate whether each of the following changes generally signals good or bad news about a company. (a) Increase in profit margin. (b) Decrease in inventory turnover...

Q: Describe the direct method for determining net cash provided by operating activities

Describe the direct method for determining net cash provided by operating activities.

Q: (a) In general, what are the requirements for the

(a) In general, what are the requirements for the financial statement presentation of long-term liabilities? (b) What ratios may be computed to evaluate a company’s liquidity and solvency?

Q: The board of directors is considering a stock split or a stock

The board of directors is considering a stock split or a stock dividend. They understand that total stockholders’ equity will remain the same under either action. However, they are not sure of the dif...

Q: Jenseng Inc. issues a $800,000, 10%,

Jenseng Inc. issues a $800,000, 10%, 10-year mortgage note on December 31, 2017, to obtain financing for a new building. The terms provide for annual installment payments of $130,196. Prepare the entr...

Q: The return on assets for Ayala Corporation is 7.6%.

The return on assets for Ayala Corporation is 7.6%. During the same year, Ayala’s return on common stockholders’ equity is 12.8%. What is the explanation for the difference in the two rates?

Q: Give the formulas under the direct method for computing (a

Give the formulas under the direct method for computing (a) cash receipts from customers and (b) cash payments to suppliers.

Q: What was the total cost of Apple’s treasury stock at September 27

What was the total cost of Apple’s treasury stock at September 27, 2014? What was the amount of the 2014 cash dividend? What was the size of the 2014 stock split?

Q: At Martinez Company, checks are not pre numbered because both the

At Martinez Company, checks are not pre numbered because both the purchasing agent and the treasurer are authorized to issue checks. Each signer has access to unissued checks kept in an unlocked file...