Please answer this question Required - prepare trading account and profits and loss account

Q: In Accrual-Basis Accounting how can you recognize your Revenues?

A: The accounting based on accrual method refers to recording of revenue and expenses when they are…

Q: Discuss and explain in details the steps of preparing Accrual basis accounting with one example and…

A: Accrual basis of accounting is that basis of accounting in which income and expenses are recorded in…

Q: An area of information that shows a company's ability to manage its assets, such as inventory and…

A: Financial ratios are used to measure the performance of the company. The types of financial ratios…

Q: hat about an income statement and a CVP Income statement?

A: An income statement is a form of computation of net income after deducting expenses from revenue.…

Q: A seller recognizes the amount of returns from right to return sales as a/an ________. Group of…

A: The question is asking about how a seller recognizes the amount of returns from right to return…

Q: How can assets and liabilities be classified for a more informative balance sheet?

A: The balance sheet represents the financial position of the business with assets and liabilities on a…

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: understanding the structure of balance sheets and income statements.

A: Income statement:   It is a financial statement prepared by a company that reports revenues and…

Q: How does the integration of blockchain technology impact the fundamental principles of double-entry…

A: The "Conceptual Framework for Financial Reporting" serves as a fundamental guide for accounting…

Q: Revenue is generally recognised at the point of sale. Which principal is applied a. Consistency b.…

A: Introduction : Accounting: Accounting is an art of recording , classifying , summarizing and…

Q: What is the purpose of preparing trading and profit and loss account?

A: Trading Account The majority of the trading account is made up of credit and debit. Direct expenses…

Q: What information do we get from the income statement?

A: Income statement is a financial statement which is prepared on periodical basis along with Balance…

Q: The Trading Account shows the result of which of the following   O a. Buying and selling of goods…

A: The trading account contains details relating to incomes and expenses that are directly related to…

Q: 15-25 Sales-mix and sales-quantity varlances. Lofty Bread Ltd is a baking company that operates in…

A: Variance analysis is a part of management accounting in which budgeted data is compared with the…

Q: Understand the uses and limitations of an income statement.

A: Income statement: The financial statement which reports revenues and expenses from business…

Q: Prepare a comment in which you explain what an accounting transaction consists of, and what are its…

A: Accounting Transaction is any business transaction that affects company's financial statements and…

Q: purchase discount is relevant into the followings cycles: a. payroll and personnel O b. sales and…

A: Accounting is essential to operating a company since it allows businesses to track income and…

Q: Describe the way EPS information should be reported in an income statement.

A: Definition: Earnings per share: Earnings per share represent the amount of income earned per share…

Q: Which of the accounting controls ensure that a company's resources are used efficiently and…

A: Controls are the procedures which are designed and monitored by the management to ensure that the…

Q: Is sales listed as liability equity revenue expense or an account

A: Sales generate revenue for the business. It is main purpose of the business to make more and more…

Q: What do you understand the vertical and horizontal income statement account and balance sheet…

A: The financial statement contains both income statement and balance that are very useful for users'…

Q: Explain what makes information in financial statements relevant to use

A: Solution- I think Cash flow statement is the most important for investor to look at although he gets…

Q: Using accrual accounting, when is revenue recognized? A. When cash transfers B. When the…

A: There are two type of accounting merhods used in business. One is cash basis of accounting and other…

Q: Define accounting? Also elaborate the rules for debit and credit in detail.

A: Accounting - It is the recording of financial events along with other functions of storing, sorting,…

Q: Where can we find authoritative guidance for balance sheet presentation under IFRS?

A:

Q: purchase Returns & Allowances appears where on an Income Statement?

A: The income statement is the financial statement of the business which shows about the profitability…

Q: how to prepare the income statement for the above transactions

A: Income statement: It implies to a financial statement prepared by the business at the closing of…

Q: What transactions are included in income from continuing operations? Briefly explain why it is…

A: Income from continuing operations includes the revenue, expense, gain, and loss transactions that…

Q: Why is Profit and Loss Adjustment Account prepared? Explain.

A: There are following two reasons of why Profit and loss adjustment account is prepared;-  1.   To…

Q: On January 1, 2020, Pharoah Corporation purchased 20% of the outstanding voting shares in WLT…

A: If the investment has significant influence then all earning are debited to investment account and…