Explain cash system of accounting how it is different from accrual system of accounting.
Question:
Explain cash system of accounting how it is different from accrual system of accounting.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
The cash system of accounting and the accrual system of accounting are two different methods used to record and recognize financial transactions Heres an explanation of each system and the key differe...View the full answer
Answered By
Michael Owens
I am a competent Software Engineer with sufficient experience in web applications development using the following programming languages:-
HTML5, CSS3, PHP, JAVASCRIPT, TYPESCRIPT AND SQL.
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Brain Teaser 4: Cash Basis or Accrual Basis? Is Accrual Accounting Superior to Cash Basis? Alicia: In the finance literature, there seems to be an emphasis on cash. Stock prices are discussed as the...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Describe ERP. Explain how it is different from other information systems. Meghan Willoughby, the Chief Purser, is especially concerned with how ERP compares with MRP.
-
Use normal job-order costing to calculate the balance in the ending Work-in-Process account and the Cost of Goods Sold account on 31 December 20X3 after any necessary adjustment(s). Sweet Memories...
-
Consider an RC circuit in which the capacitor is being charged by a battery connected in the circuit. After a time equal to two time constants, what percentage of the final charge is present on the...
-
The most recent financial statements for the Brisbane City Council are available at www.brisbane. qld.gov.au. Referring to these statements, address the following questions. (a) Discuss why the...
-
Some of the traditional sustainability reports are an integrated report, a triple bottom line report, and a CSR report. Research the background of these reports and explain the difference between...
-
Robert, a new client of yours, is a self-employed caterer in Santa Fe, New Mexico. Robert drives his personal van when delivering catered meals to customers. You have asked him to provide the amount...
-
Explain the issues that an auditor may need to deal with in the cash accounts, especially if the company has foreign bank accounts for international transactions. Also, would a schedule of interbank...
-
Accounting concepts are like scientific rules, which are time-tested and applicable universally across the boundaries and in different situations, whereas accounting conventions are certain...
-
Costing is the technique and process of ascertaining cost. It has the important objective of ascertaining the cost of goods and services being produced. Explain.
-
Why are workers' compensation payments treated differently from unemployment compensation payments for tax purposes?
-
What is the role of "romance and theatre" in Starbucks outlet ? Discuss how the key tangible and intangible brand attributes be adapted to ensure that Indian consumers have a positive experience of...
-
A certain substance has a mass per mole of 53 g/mol. When 312 J is added as heat to a 26.0 g sample, the sample's temperature rises from 21.0C to 45.0C. What are the (a) specific heat and (b) molar...
-
Considering the present value of cash flows valuation model discussed in class, if rates decreased, holding everything else constant, A) would you expect a stock price to increase or decrease, and B)...
-
What is the credit rating for Abbott Laboratories bonds? Do all of the bonds have the same credit rating? Why do you think this is ?
-
This was an employment case, where the central issues were (1) without cause termination, (2) notice/pay in lieu, and (3) mitigation. Where the employer has ended the employment contract without...
-
Firm X needs to net $7,800,000 from the sale of common stock. Its investment banker has informed the firm that the retail price will be $22 per share, and that the firm will receive $19 per share....
-
The bookkeeper for Riley, Inc., made the following errors: a. A cash purchase of supplies of $357 was recorded as a debit to Supplies for $375 and a credit to Cash of $375. b. A cash sale of $3,154...
-
Goods costing $3,000 are purchased on account on July 15 with credit terms of 2/10, n/30. On July 18 a $200 credit was received from the supplier for damaged goods. Give the journal entry on July 24...
-
Explain where each of the following items would appear on (1) A multiple step income statement, and on (2) A single-step income statement: (a) Gain on sale of equipment, (b) Interest expense, (c)...
-
Assume the same information as in BE5-10 and also that Alshare Company has beginning inventory of $60,000, ending inventory of $90,000, and net sales of $630,000. Determine the amounts to be reported...
-
Show how to find all the factors of the following numbers in an efficient manner. Explain why you can stop checking for factors when you do. a. 63 b. 75 c. 126 .
-
Assume the covariance of Stock Alpha with Stock Beta is .32. Accordingly, what is the covariance of Stock Beta with Stock Alpha?
-
The following information is available for Robstown Corporation for 20Y8: Inventories January 1 December 31 Materials $44,250 $31,700 Work in process 63,900 80,000 Finished goods 101,200 99,800...
Study smarter with the SolutionInn App