Question

A limitation of the balance sheet that is not also a limitation of the income statement...

A limitation of the balance sheet that is not also a limitation of the income statement is Select one: a. None of these. b. the numbers are affected by the accounting methods employed c. the use of judgments and estimates d. omitted items e. valuation of items at historical cost

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

answer:

  • option( e ) is correct answer (valuation of items at historical cost)

just small normal explanation as the below:

  • There are three essential constraints to asset reports, including the way that they are recorded at chronicled cost, the utilization of assessments, and the exclusion of profitable things, for example, insight.
  • Settled resources are appeared to be decided sheet at verifiable cost less deterioration breakthrough.
  • One of the confinements of the wage proclamation is that salary is accounted for dependent on bookkeeping rules and regularly does not reflect money evolving hands.
  • This could be because of the coordinating standard, which is the bookkeeping rule that expects costs to be coordinated to incomes and detailed in the meantime.
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
If the amount assigned to ending inventory is INCORRECT, A. The balance sheet is affected, but...
If the amount assigned to ending inventory is INCORRECT, A. The balance sheet is affected, but the income statement is not. B. The income statement is affected, but the balance sheet is not. C. The balance sheet is affected, but cost of goods sold is not. D. Both the balance sheet and the income statement are affected.
the cash accountis found on the ? A. income statement b balance sheet c statement of...
the cash accountis found on the ? A. income statement b balance sheet c statement of retained earnings d none of the above
Identify the differences between a balance sheet and income statement      Compare and Contrast - Items...
Identify the differences between a balance sheet and income statement      Compare and Contrast - Items on each: define - Sections and subsections of each statement - State the Accounting Equation - Income Statement Equation (Net Profit or Loss formula)
​(Working with an income statement and balance sheet​) Prepare a balance sheet and income statement for...
​(Working with an income statement and balance sheet​) Prepare a balance sheet and income statement for Kronlokken Company from the scrambled list of items shown in the popup​ window, Depreciation expense   66,000 Cash   225,000 Long-term debt   334,000 Sales   573,000 Accounts payable   102,000 General and administrative expenses   79,000 Buildings and equipment   895,000 Notes payable   75,000 Accounts receivable   153,000 Interest expense   4,750 Accrued operating expenses   7,900 Common stock   289,000 Cost of goods sold   297,000 Inventory   99,300 Taxes   50,500 Accumulated depreciation   -263,000 Prepaid...
A balance sheet is included in a(n) ___________________ for a bank. A.        income statement B.         provision...
A balance sheet is included in a(n) ___________________ for a bank. A.        income statement B.         provision for loan loss statement C.         report of condition (call report) D.        report of income E.         statement of retained earnings
Which of the following statements about the income statement and balance sheet accounts is correct? Income...
Which of the following statements about the income statement and balance sheet accounts is correct? Income statement accounts are temporary accounts, while balance sheet accounts are permanent accounts. The balance sheet reports financial activities only for the current accounting period. The income statement reports the financial position of a company at a point in time. The income statement reports the cash received and paid during the period.
Income Statement, Retained Earnings Statement, and Balance Sheet The following financial data were adapted from a...
Income Statement, Retained Earnings Statement, and Balance Sheet The following financial data were adapted from a recent annual report of Target Corporation for the year ending January 31. In millions Accounts payable $13,714 Cash 1,588 Common stock 5,724 Cost of goods sold 95,720 Debt and other borrowings 34,966 Income tax expense 3,054 Interest expense 1,732 Inventories 15,836 Other assets 5,684 Other expenses 5,154 Other liabilities 12,938 Property, plant, and equipment 58,298 Sales 136,932 Selling, general, and administrative expenses 28,212 Instructions:...
. On which of the four major financial statements (balance sheet, income statement, statement of cash...
. On which of the four major financial statements (balance sheet, income statement, statement of cash flows, or statement of retained earnings) would you find the following items? a. earnings before taxes b. net plant and equipment c. increase in fixed assets d. gross profits e. balance of retained earnings, December 31, 20xx f. common stock and paid-in surplus g. net cash flow from investing activities h. accrued wages and taxes i. increase in inventory 10. How does the payment...
The basic financial statements include a a. Balance sheet, income statement, statement of retained earnings, and...
The basic financial statements include a a. Balance sheet, income statement, statement of retained earnings, and statement of changes in retained earnings. b. Statement of financial position, income statement, statement of cash flows, and statement of changes in retained earnings. c. Balance sheet, Statement of financial position, income statement, and statement of changes in retained earnings. d. Statement of financial position, income statement, statement of cash flows, and statement of retained earnings
GAAP permits many items to be recorded at fair value on the balance sheet. Many experts...
GAAP permits many items to be recorded at fair value on the balance sheet. Many experts argue in favor of fair value accounting because it allows the users of the balance sheet to see what current (as of the balance sheet date) exit price of many assets and liabilities. Many also argue against fair value accounting because it may cause a great deal of income volatility (as seen currently due to COVID 19 and in the 2008 recession). Based upon...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT