Questions from Intermediate Accounting

Q: What are the main similarities and differences between a manual and an

What are the main similarities and differences between a manual and an automated accounting system?

Q: Distinguish between (a) Real and nominal accounts,

Distinguish between (a) Real and nominal accounts, (b) General journal and special journals, and (c) General ledger and subsidiary ledgers.

Q: What are restructuring charges, and why do they generate controversy?

What are restructuring charges, and why do they generate controversy?

Q: Identify the major objectives of financial reporting as specified by the FASB

Identify the major objectives of financial reporting as specified by the FASB.

Q: Pop-Up Company has decided to sell its lid manufacturing division

Pop-Up Company has decided to sell its lid manufacturing division even though the division is expected to show a small profit this year. The division’s assets will be sold to another company at a loss...

Q: One objective of financial reporting is understandability. Understand able to whom

One objective of financial reporting is understandability. Understand able to whom?

Q: Which of the following would not normally qualify as an extraordinary item

Which of the following would not normally qualify as an extraordinary item? (a) The write-down or write-off of receivables. (b) Major devaluation of foreign currency. (c) Loss on sale of plant and equ...

Q: Why is it so difficult to measure the cost effectiveness of accounting

Why is it so difficult to measure the cost effectiveness of accounting information?

Q: Explain briefly the difference in accounting treatment of (a)

Explain briefly the difference in accounting treatment of (a) A change in accounting principle and (b) A change in accounting estimate.

Q: Distinguish between the qualities of relevance and reliability.

Distinguish between the qualities of relevance and reliability.