A separate line within stockholders’ equity that reports the corporation’s cumulative income that has not been reported as part of net income on the corporation’s income statement. The items that would...
A separate line within stockholders’ equity that reports the corporation’s cumulative income that has not been reported as part of net income on the corporation’s income statement. The items that would...
What is accumulated other comprehensive income? Author: Harold Averkamp, CPA, MBA Definition of Accumulated Other Comprehensive Income Accumulated other comprehensive income is a separate line within the stockholders’...
to accumulated other comprehensive income. Retained earnings and accumulated other comprehensive income are reported on separate lines within stockholders’ equity on the end-of-the-period balance sheet. Join PRO to...
Accumulated Other Comprehensive Income (while a negative amount will cause a decrease in Accumulated Other Comprehensive Income). Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to...
Our Explanation of Income Statement helps you learn the most important features of a corporation's income statement (also known as the statement of operations or profit and loss statement). We provide more understanding...
Our Explanation of Stockholders' Equity covers the unique terminology for a corporation's paid-in capital, retained earnings, treasury stock, and accumulated other comprehensive income. Included are cash dividends, stock...
Our Explanation of Financial Statements provides you with the highlights of each of the five external financial statements issued by U.S. corporations. Our insights will give you a good understanding of what the...
in accumulated other comprehensive income, which is a different component of stockholders’ equity. Examples of Other Comprehensive Income Some examples of the items classified as other comprehensive income include:...
may be paid-in capital, retained earnings, treasury stock, and accumulated other comprehensive income. Examples of Negative Amounts in the Equity Section If the current year’s net income is reported as a separate line...
The statement of comprehensive income covers the same period of time as the income statement, and consists of two major sections: Net income (taken from the income statement) Other comprehensive income (adjustments...
of a balance sheet indicate a period of time or a point in time? Point In Time Right! Period Of Time Wrong. 6. A corporation's net income will cause a change in which component of stockholders' equity?...
Our Explanation of the Balance Sheet provides you with a basic understanding of a corporation's balance sheet (or statement of financial position). You will gain insights regarding the assets, liabilities, and...
Treasury stock – number of shares Treasury stock – total cost Retained earnings Accumulated other comprehensive income or loss Total stockholders’ equity Examples of the Descriptions for the Rows or Lines...
, Investments, Land, and Equipment liability accounts including Notes Payable, Accounts Payable, Accrued Expenses Payable, and Customer Deposits stockholders’ equity accounts such as Common Stock, Retained Earnings,...
of its capital stock with common stock and preferred stock (if any) reported separately. Retained earnings. Generally this is the cumulative earnings of the corporation minus the cumulative amount of dividends declared....
gains and losses on hedges, foreign currency translations, and pension liabilities that were not part of net income shown on the income statement is __________ accumulated other comprehensive income. Mark the Quiz as...
expenses? Contribution Margin Right! Gross Profit Wrong. Net Income Wrong. 16. Are the draws of a sole proprietor reported as an expense on the company's income statement? Yes Wrong. No Right! 17. A...
Our Explanation of Financial Statements provides you with the highlights of each of the five external financial statements issued by U.S. corporations. Our insights will give you a good understanding of what the...
Our Explanation of Financial Statements provides you with the highlights of each of the five external financial statements issued by U.S. corporations. Our insights will give you a good understanding of what the...
Our Explanation of Stockholders' Equity covers the unique terminology for a corporation's paid-in capital, retained earnings, treasury stock, and accumulated other comprehensive income. Included are cash dividends, stock...
Our Explanation of Financial Accounting introduces some of the basic accounting concepts and how they affect the income statement, balance sheet, and other financial statements.
Our Explanation of Financial Statements provides you with the highlights of each of the five external financial statements issued by U.S. corporations. Our insights will give you a good understanding of what the...
Our Explanation of Accounting Basics uses a simple story to introduce important accounting concepts and terminology. It illustrates how transactions will be included in a company's financial statements.
by December 31, but the payment is not made until the following month, should the loan payment be accrued at December 31? What is net working capital? What is a contra inventory account? What is accumulated other...
Comprehensive income consists of the following two components (which are reported on the statement of comprehensive income): Net income (or loss) from the income statement, and Other comprehensive income (some...
Should a retailer's delivery surcharges be reported as revenues or as other income? Author: Harold Averkamp, CPA, MBA I believe that a retailer’s delivery surcharges are a price adjustment and should be reported...
Long term assets that are not classified as investments, property, plant, equipment, or intangible assets. An example is bond issue costs that are amortized to expense over the life of the bonds.
A balance sheet line to report short-term assets that are too insignificant to be identified separately.
A balance sheet line to report short-term liabilities that are too insignificant to be identified separately.
This is a contra long-term asset account which is credited for the depreciation associated with Buildings. Since it is a balance sheet account, the accumulated depreciation account balance does not close at the end of...
The contra asset account which accumulates the amount of Depreciation Expense taken on Equipment since the equipment was acquired. As a contra asset account it will have a credit balance.
The amount of a long-term asset’s cost that has been allocated to Depreciation Expense since the time that the asset was acquired. Accumulated Depreciation is a long-term contra asset account (an asset account with...
The cumulative amount of depletion expense pertaining to the natural resources shown on the balance sheet. The account has a credit balance and will be reported on the balance sheet as a contra asset.
What is accumulated depreciation? Author: Harold Averkamp, CPA, MBA Definition of Accumulated Depreciation Accumulated depreciation is the total amount of a plant asset’s cost that has been allocated to depreciation...
The term used in place of retained earnings when a corporation has a negative (debit) balance in its account Retained Earnings.
Obligations that a company has incurred, but have not yet been routinely recorded in Accounts Payable. For example, if the interest on a bank loan is paid on the 10th of each month, then on the last day of each month...
This account is a contra long-term asset account which is credited for the depreciation associated with land improvements. As an asset account, the accumulated depreciation account balance does not close at the end of...
Why is Accumulated Depreciation an asset account? Author: Harold Averkamp, CPA, MBA Definition of Accumulated Depreciation The account Accumulated Depreciation reports the total amount of depreciation expense that has...
What causes a reduction in Accumulated Depreciation? Author: Harold Averkamp, CPA, MBA Definition of Accumulated Depreciation Accumulated Depreciation is a general ledger contra asset account associated with a...
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