West Yost has a set determined pay schedule which is well defined according to pay period, pay date, and work day. This information matches the payroll and timecard systems. While new hire, term, and pay changes generate from HR with appropriate approvals, the accounting department is responsible for processing payroll. Based upon a review of the employees sampled, employees were paid in accordance with time and attendance. Voluntary and mandated deductions were also processed according to documentation on file, and defined payroll processes.
This corporation is a large direct writer and does not use agents. They sell all types of insurance policies, ranging from fire and theft insurances to life insurance. The corporation aims to have close relationships with their consumers and hence possesses a consumer database in which information on the purchasing behavior of consumers at the corporation, and some other characteristics, such as age and relationship duration, are stored. Data on the ownership of different insurance policies were collected by means of a telephone survey among a proportionally stratified sample of about 2300 consumers of the insurance corporation. The bases for stratification are relationship duration, purchase level of insurances and claiming behavior.
This means that the debts were not considered important to be stated in the balance sheet to give any troubling to the board of directors and the accountants used prudence and left them blank. 3. The company has stuck to its accounting period, which is it yearly puts out an annual balance sheet since 1977 and shows its data to its shareholders and potential shareholders. 4. The company uses the concept of entity.
At the same time as the purchase invoice enters the purchasing system, a computerized non-current assets register is updated. Access to the non-current assets register is restricted to personnel in the accounting department. On a rolling basis throughout the year the non-current assets register is compared to plant and equipment on site by accounting department personnel, using identification numbers in the register and permanently marked onto each item in the factory. The internal audit department also tests on a sample basis the operation of the system from budget preparation to entry in the non-current assets register. Internal audit staff also compare a sample of entries in the non-current assets register with equipment on the shop floor.
Library Longwall 35 37 320 Longwall Shortwall Shortwall 5. Office (S D sisodiya) Longwall 32 38 280 Longwall 28 38 220 Shortwall Shortwall 6. Faculty room All walls 7. Tutorial room All walls 8. Office (Reading room) Longwall 32 37 280 Longwall Short wall Shortwall 9.
Actual income statements show what actually happened to revenues, costs, and profits during a period according to the GAAP principles. There are also pro forma and non-GAAP income statements. Pro forma means that the income statement is a projection. The income statement is divided by three parts, at the top line it has the revenues or sales, at the middle line, it has the costs and expenses and at the bottom line it has the profits or loses. When someone is looking at any income statement it’s essential to take a look to the footnotes because in there you can see how the accountants arrived to the totals.
a. Economic Entity Assumption The economic entity principle states that the recorded activities of a business entity will be kept separate from the recorded activities of its owner(s) and any other business entities. This means that you must maintain separate accounting records and bank accounts for each entity, and not intermix with them the assets and liabilities of its owners or business partners. Also, you must associate every business transaction with an entity. A business entity can take a variety of forms, such as a sole proprietorship, partnership, corporation, or government agency.
It can be weekly, monthly or even daily. The values within the report are generally forecasted. As mentioned before financial accounting information is mainly for the outside people of the company. It is published once in a year and consists of factual and predicted values for those who are interested in investments. The management accounting information are used for further decision making like the report of sales forecasting, budget analysis and comparative analysis, feasibility studies and reports for merger and consolidation.
The IAS 7 describes this requirement by the cash flow information benefit which it gives. The IAS 7 specifies the rough structure of a cash flow statement and gives a definition of cash and cash equivalents. The cash flows have to be differianted into those attained from investing, operating and financing activities. IAS 8: Net Profit or Loss for the Period, Fundamental Errors and Changes in Accounting Policies IAS 8 guarantees that all companies should present their income statement in consistent form. It outlines ordinary activities of businesses and requires disclosing of extraordinary items separately.
A system of accounting supported based on the accrual primary, beneath the revenue is documented (recorded) when earned, and expenses are recognized once incurred. Totals of revenues and expenditures are revealed in the financial statements (prepared at the end of an accounting period), whether or not money was received or salaried out in that period. Accruals basis accounting obeys to the supplies of GAAP in getting ready the financial statements for exterior users, and is hired by most firms excepting the very small ones (which use cash basis accounting). Accrual accounting is a method of accounting during which transactions are recognized as because the underlying economic events occur, regardless of the temporal order of the relevant cash