FIN621 - Financial Statement Analysis - Q.No.1.
Differentiate between closing entries and adjusting entries. (3)
Differentiate between closing entries and adjusting entries. (3)
FIN621 - Financial Statement Analysis - Q.No.2.
Why wrong inventory valuation effects two periods? Explain (3)
Why wrong inventory valuation effects two periods? Explain (3)
FIN621 - Financial Statement Analysis - Q.No.3.
Is it necessary to review every cash transaction by its receipt? (3)
Is it necessary to review every cash transaction by its receipt? (3)
FIN621 - Financial Statement Analysis - Q.No.4.
Explain how the adoptions of FIFO method rather than LIFO will tend to raise or lower the quality of a company’s earnings? Assume the continuance of the inflation. (5)
Explain how the adoptions of FIFO method rather than LIFO will tend to raise or lower the quality of a company’s earnings? Assume the continuance of the inflation. (5)
FIN621 - Financial Statement Analysis - Q.No.5.
Patterson Company reported net income for the current year of Rs. 666,000. During the year the company’s accounts receivable increased by Rs. 50,000, inventory decreased by Rs. 23,000, accounts payable decreased by Rs. 55,000, pre-paid expenses increased by Rs. 35,000, and accrued expenses payable increased by Rs. 14,000. Determine the amount of cash provided by or used for operating activities by the indirect method. (5)
Patterson Company reported net income for the current year of Rs. 666,000. During the year the company’s accounts receivable increased by Rs. 50,000, inventory decreased by Rs. 23,000, accounts payable decreased by Rs. 55,000, pre-paid expenses increased by Rs. 35,000, and accrued expenses payable increased by Rs. 14,000. Determine the amount of cash provided by or used for operating activities by the indirect method. (5)
