explain how the idea of value creation under stakeholder theory differs from that under positive accounting theory.

Q: What are the measurement alternatives involved with using ROA as a performance measure? For example,…

A: The return on asset is the financial ratio that is used by the company in order to analyse how…

Q: Explain the political cost hypothesis of Positive Accounting Theory.

A: Positive accounting:   It is referred to as the branch of accounting research that helps to explain…

Q: Financial information that is capable of making a difference in a decision is a) relevat b)…

A: Fundamental qualities of financial information should be: 1. Relevance 2. Faithful representative.

Q: distinguish between conservative and aggressive accounting;

A: Accounting is the process through which financial statement are recorded, analyzed, summarized and…

Q: Consider the advantages and disadvantages of using the accounting rate of return as an investing…

A: This question explains about  the advantages and disadvantages of using the accounting rate of…

Q: Accounting risk: types, explanations and examples

A: Accounting risk refers to the potential for errors, inaccuracies, or misstatements in an…

Q: What is the use and purpose of Financial Performance Measures and Non-financial Performance…

A: Although financial indicators are vital for performance evaluation, many businesses utilize a…

Q: Discuss the differences between financial and management accounting and support your arguments with…

A: We know that financial accounting and management accounting are two branches of accounting.…

Q: why it is important to use profitability ratios

A: Ratio analysis is an evaluation tool used by the businesses with a view to obtain knowledge about…

Q: Please answer the question as follow? Profit Maximize and Wealth Maximize, what is difference?…

A: financial management is important because it helps organizations plan, organize, direct, and control…

Q: What are the two essential characteristics of usefulfinancial information? What other…

A: Financial information: Financial information refers to the data of the transactions that are…

Q: Why profit shows as liability and loss shows as asset?

A: The assets and expenses have the debit normal balance. The liabilities and revenue have credit…

Q: Who benefits the least from accounting regulation? Why?

A: The entity engages in day-to-day operations to provide goods and services to the customers and as a…

Q: What is “fair value”? Consider whether it is really helpfulwhen reporting financial results. Give…

A: Fixed assets: These include all the assets that are of tangible nature and have an expected useful…

Q: What are the differences between negative goodwill and positive goodwill, and how are they treated…

A: A company's brand, reputation, customer base, and other intangible elements are all valued as part…

Q: Evaluate earnings management from a utilitarian perspective. Can earnings management be an ethical…

A: Earnings management is the purposeful intervention in the external reporting purpose with the intent…

Q: Discuss the relationship of accounting information with the Efficient Market Hypothesis (EMH)

A: Accounting information is a wider term, it includes all financial information of the firm. It is…

Q: What can be understood from the term Accounting diversity?

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: Discuss the ways in which the concept of present value as utilized in making financial decisions

A: The term present value refers to the formula or function that is used for determining the present…

Q: r to pay un

A: Horizontal analysis :  Financial analysts use horizontal analysis, also known as trend analysis or…

Q: Who is responsible fir underlying determinants of future profitability? 1. Credit Analyst 2.…

A: Future Profitability is calculated by assessing the future probability of a particular stock under…

Q: Explain the importance of perspective analysis to financial statement analysis?

A: The process of evaluating a company's performance or value using its balance sheet, income…

Q: Explain the objective of Financial Reporting

A: Financial reporting is an accounting practice where the organization discloses the financial results…

Q: Using

A: The agency theory is said to be the theory of the management which help in the examination of the…

Q: What methods could be used in profit planning?

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Discuss the importance and differences of liquidity, solvency and profitability.

A: Liquidity is the ability to turn an asset into cash or cash equivalent with ease. Solvency is the…

Q: What is the primary purpose of a cost center? A) To generate revenue B) To control cost C) To manage…

A: In a centralized environment, control moves from task control to results control. In a task control…

Q: Analyze the disadvantages of financial performance measures and the advantages of non

A: Disadvantages of financial performance measures  1 They indicates short term performance measures. 2…

Q: Non financial measures are related to elements of result control Select one: O a. Market condition O…

A: Non financial measures are helpful in providing information on a company's performance in non…

Q: what is meant by Profit and Cashflow and how they are different?

A: Each and every business organization deals in either goods or offering services to their customers…

Q: ompare and contrast the financial management in the traditional view and in the modern approach

A: The traditional approach The traditional approach to the finance function relates to the initial…

Q: What is Fair Value Accounting? 2. What are the factors contributing toward the trend of fair value…

A: What is Fair Value Accounting? Fair value accounting is a financial reporting method where assets…

Q: Fair value is a more relevant measure to use in Financial Reporting than Historical Cost. Discuss

A: Introduction: Fair value accounting refers to the practice of valuing your company's liabilities and…

Q: How can we establish the Goal or Objective regarding financial decisions?

A: Answer: Every individual needs to prepare their finances properly to fulfill their priorities and…

Q: Define and explain the agency problem in terms of differences in ability to diversify risk by…

A: Agency problem occurs when there is a conflict of interest when manager is in dilemma to serve the…

Q: What are alternative accounting methods? and whats a  good example. What is pro forma income? Whats…

A: Alternative accounting methods are those that differ from the traditional methods of accounting.…