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Discuss the criteria for revenue recognition under accrual accounting: a firm recognizes revenue when it is deemed to be a.

Become familiar with the types of economic activity that are associated with common financial-statement line items, and thus the reasons why users of financial reports might find these items useful. Understand the distinction between recognition and disclosure of information. Begin to understand commonly-used financial ratios. Revenue Recognition and Accounts Receivable (PDF) Objectives: 1.

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Class Preparation Questions: Accounting for Frequent Fliers Questions (PDF) For current liabilities: What kind of current liabilities does Intel have? The accounting decision is determining the allowance for bad debts, a decision that requires considerable judgment.

You and your group can gauge your progress by assessing the extent to which you have met these objectives and understand the concepts. Why does Ending Retained Earnings Balance not equal Ending Cash Balance on the Balance Sheet? How do you determine what fiscal period a firm is using? accounting principles require the former but not the latter? What is the difference between capitalizing and expensing a cost? How is recognizing depreciation for PP&E an example of the Matching Principle? Become familiar with the main parts of an annual report: a.

Build a working relationship: What are our responsibilities? Answer the following: What do accountants do and why is it important? Understand the course objective and challenges, and our strategy to meet them. Begin to gain an understanding of the course framework. Understand how individual events affect financial statements.

The Matching Principle and Long-lived Assets (PDF) Concepts and Objectives: 1. Accruing expenses related to outstanding obligations.

Understand the concept of "Depreciation" and the assumptions used to calculate depreciation. Continue to learn how to reverse engineer related accounting entries from financial statement information. Begin to understand and appreciate the Statement of Cash Flows. Explain how depreciating PP&E is an example of the matching principle. When a long-lived asset is sold, how is the gain or loss (if any) determined? How would it affect the Income Statement and Statement of Cash Flows? How is the Accumulated Depreciation account similar to other asset accounts you have seen in the past? What was the value of Intel's gross PP&E and accumulated depreciation at the end of 2002?

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