Welcome

Anti Essays offers essay examples to help students with their essay writing.

Sign Up

Acc306: Intermediate Accounting Ii Essay

Open Document

Below is an essay on "Acc306: Intermediate Accounting Ii" from Anti Essays, your source for research papers, essays, and term paper examples.

E20 – 18
1. EP
2. E
3. E
4. PR
5. PR
6. E
7. R
8. N
9. PR
10. E
Analysis Case 20-10
1. Changing the way it depreciates its computers from the sum-of-the-year’s digits method to the straight-line-method is an overall change in accounting principle. If a product is not already depreciated when the change takes place, it will be done using the straight-line-method. If you change the estimated residual used for the overall depreciation of the office building, this would be a change in accounting estimate. Whatever is not already depreciated at the time the change occurred will then be reduced by the new estimate of residual value and that amount will be depreciated over the remaining useful life of the building itself.
2. Having consistency is very important, therefore when the accountant goes through all of the company’s financial statements they need to be able to explain why the change occurred and exactly what the change is.
P 21-11

Arduous Company
Comparative Balance Sheet
December 31, 2011 and 2010
($ in millions)

Assets: 2010 2011
Cash 81 116
Accts Receivable 202 200
-8 -10
Invest Rev. Receivable 4 6
Inventory 200 205
Prepaid Insur. 8 4
Long-term Investment 125 156
Land 150 196
Buildings/Equipment 400 412
-120 -97
Patent 32 30
          1074 1218

Liabilities: 2010 2011

Accounts Payable 65 50
Salaries Payable 11 6
Bond Interest Payable 4 8
Income Tax Payable 14 12
Deferred Income Tax Liability 8 11
Notes Payable 0 23
Lease Laibility 0 82
Bonds Payable 275 215
-25 -22

Show More


Citations

MLA Citation

"Acc306: Intermediate Accounting Ii". Anti Essays. 12 Dec. 2018

<http://trenmayamx.com/free-essays/Acc306-Intermediate-Accounting-Ii-761691.html>

APA Citation

Acc306: Intermediate Accounting Ii. Anti Essays. Retrieved December 12, 2018, from the World Wide Web: http://trenmayamx.com/free-essays/Acc306-Intermediate-Accounting-Ii-761691.html