A list of accounting concepts follows: 1. Revenue recognition 2. Matching 3. Full disclosure 4. Historical cost
Question:
1. Revenue recognition
2. Matching
3. Full disclosure
4. Historical cost
5. Expense recognition
6. Realizable value
Match these concepts to the following statements, using numbers 1 to 6.
(a) ______ Hirjikaka Company reports information about pending lawsuits in the notes to its financial statements.
(b) ______ Sudin Company reduces prepaid insurance to reflect the insurance that has expired.
(c) ______JossCompanyrecordsrevenuewhenitsperformanceobligationissatisfied.
(d) ______ Law Company records revenue as it completes services for its clients, not when the client pays cash.
(e) ______ Hilal Company reports its land at the price it paid for it, not at what it is now worth.
(f) ______ Rich Company reports accounts receivable less an estimated amount for uncollectible accounts.
(g) ______ Nickel Company depreciates its mining equipment using the units-of-production method.
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Related Book For
Accounting Principles
ISBN: 978-1119048473
7th Canadian Edition Volume 2
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
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