Question

Why the basic equation accounting in Proprietary theory (A-L = P) and Entity theory (A =...

Why the basic equation accounting in Proprietary theory (A-L = P) and Entity theory (A = E) different from A = L + E. Explain!

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The entity theory of equity implies that there should be no need for financial statements to...
The entity theory of equity implies that there should be no need for financial statements to distinguish between debt and equity. Alternatively, proprietary theory implies that such a distinction is necessary and yields information vital to owners and potential stockholders. Is entity theory or proprietary theory consistent with modern theories of finance—that is, does the firm’s capital structure make a difference? Explain.
(TCO F) What is the accounting equation for a proprietary fund? What are the three components...
(TCO F) What is the accounting equation for a proprietary fund? What are the three components of net assets? Please explain the nature each component.
Define the basic accounting equation? Why do health care organizations (HCOs) utilize the double-entry accounting system?...
Define the basic accounting equation? Why do health care organizations (HCOs) utilize the double-entry accounting system? Describe how an accounting ledger provides the information needed to prepare the balance sheet and operating statement
"The accounting treatment of an investment in an associate entity is to record the investment as...
"The accounting treatment of an investment in an associate entity is to record the investment as an asset. The accounting treatment when a parent-subsidiary relationship exists is to merge the two sets of financial records. I think this different treatment is valid." Justify whether you agree or disagree. You must explain why.
describe the basic accounting equation how does the double-entry accounting system work
describe the basic accounting equation how does the double-entry accounting system work
Case 1 Various research methodologies are available with which to study the development of accounting theory....
Case 1 Various research methodologies are available with which to study the development of accounting theory. Required: Discuss the deductive, inductive, and pragmatic research methods. Include in your discussion examples of accounting research that used each method. Case 2 Agency theory provides an explanation for the development of accounting theory. Required: Discuss agency theory, including its basic assumptions, agency relationships, why the political process affects agency relationships, and why it does or does not explain accounting theory.
Balance the following equation in an acidic and basic solution. Br-(aq)+NO3<---->NO-(g)+Br2(l)
Balance the following equation in an acidic and basic solution. Br-(aq)+NO3<---->NO-(g)+Br2(l)
When a company pays rent expense for the current period, how will the basic accounting equation...
When a company pays rent expense for the current period, how will the basic accounting equation be affected? A) Liabilities decrease. B) Revenues decrease. C) Expenses decrease. D) Stockholder’s equity decreases.
The Schrodinger equation, the Dirac equation and the Boltzmann equation cannot be derived exactly from some...
The Schrodinger equation, the Dirac equation and the Boltzmann equation cannot be derived exactly from some more basic theory. Why then should anyone be willing to call work based on these equations scientific theories?
For the basic accounting equation to stay in balance, each transaction recorded must: Select one: a....
For the basic accounting equation to stay in balance, each transaction recorded must: Select one: a. affect only one account. b. always affect exactly two accounts. c. affect two or more accounts. d. change no more than one account.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT