for products and services, achieved without acquisition of preexisting firms. Some companies expand internally by undertaking new product research to expand their total market, or by attempting to obtain a greater share of a given market through advertising and other promotional activities. Marketing can also be expanded into new geographical areas. External expansion is the bringing together of two or more firms under common control by acquisition. Referred to as business combinations, these
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Chapter 1 the equity method of accounting for investments Answers to Questions 1. The equity method should be applied if the ability to exercise significant influence over the operating and financial policies of the investee has been achieved by the investor. However, if actual control has been established, consolidating the financial information of the two companies will normally be the appropriate method for reporting the investment. 2. According to Paragraph 17 of APB Opinion 18, "Ability
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INVESTMENTS 1. CASH Audit objects : - existence recorded cash balances exist at the balance sheet date. - completeness recorded cash balances include the effects of all cash trans-actions that have occurred; year – end transfer of cash between banks are recorded in the proper period. - rights and obligations the entity has legal title to all cash balances shown at the balance sheet date. - valuation recorded cash balances are realizable at the amounts stated on the balance sheet and agree
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Baked Beans Corp. On August 1 2009, the acquisition day, Allfoods paid 40 million in cash and issued 2 million shares of Allfoods to sellers. All the outstanding stock options granted to employees of Baked Beans will be replaced with Allfoods stock options. Allfoods share price was 30 on announcement date and 35 on acquisition date. Allfoods would issue an additional one million shares if Baked Beans revenues for the 12 month period after the acquisition were at least 150 million. Fair value
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Content: Notes to Consolidated Financial Statements 1. Summary of Significant Accounting Policies Principles of Consolidation Description of the Company New Accounting Pronouncements Cash and Cash Equivalent Inventories Investments Property, Plant and Equipment and Depreciation Earnings per Share Revenue Recognition Research and Development Use of Estimates Income Taxes Annual Closing Date 2. Cash, Cash Equivalents and Current Marketable Securities 3. Inventories 4. Property, Plant and Equipment 5
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Comparison between U.S. GAAP and International Financial Reporting Standards May 2013 © 2013 Grant Thornton LLP All rights reserved U.S. member firm of Grant Thornton International Ltd Comparison between U.S. GAAP and International Financial Reporting Standards 2 Contents 1. Introduction .................................................................................................................................................. 6 International standards and the IASB .........
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Module 9 Intercorporate Entities DISCUSSION QUESTIONS Q9-1. (a) Trading securities are reported at their fair value in the balance sheet. (b) Available-for-sale securities are reported at their fair value in the balance sheet. (c) Held-to-maturity securities are reported at their amortized cost in the balance sheet. For marketable securities, fair value and market value are usually synonymous. Thus, trading and available-for-sale securities are recorded on the balance sheet at market
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Building Value through through Values,Valor & Vision Valor & OSIM INTERNATIONAL LTD Annual Report 2012 Calligraphy: An art form that requires careful thought, strength, character, patience, philosophy and point of view. An apt representation of what drives OSIM forward. Sales $ +$48 million 602 Profit before tax $ +17% million 115 87 million EBITDA $ +13% 126 Profit after tax $ +26% million million For year ended 31 December Sales Profit EBITDA Before
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• In May 2011, the SEC’s Office of future, IFRS has been affecting US the Chief Accountant published a companies for some time, primarily Staff Paper exploring one possible through engaging in cross-border method to incorporate IFRS merger-and-acquisition (M&A) into the US financial reporting activity, meeting the reporting needs system, involving an active of non-US stakeholders, and assisting Financial Accounting Standards with or monitoring of the IFRS Board (FASB) incorporating IFRS requirements
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Mid-Term Examination #2 ADM 3349 B AUDITING THEORY November 18, 2009 Professor: B. Church | | |INSTRUCTIONS | | | |1. Books and notes are not permitted.
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