F1 general cards

Fincancial capital maintenance is considered to be an elelment of both "------------------------------" and " ---------------------------------------"

A concept of maintenance of capital or recovery of cost is a prerequisite for separating return on capital from retrun of capital becouse only inflows in excess of the amount needed to maintain capital are a return on equity.  Two major concepts of capital maintence exist both of which can be measured in units of either money or constant purchasing power, the ------------------------------and the ----------------------------------------.  The major difference between them involves the effects of price changes on assets held and liabilities owed during a period.  Under the ------------------------------------if the effects of those price changes are recognized they are called holding gains and losses and are included in return on capital.   Under the ------------------------- those changes would be recognized but called capital maintence adjustments and would be included directly in equity and would not be included in return on capital.   Under that concept capital maintence adjustments would be a separate element rather then gains and losses,

true of false

An enitity revenue may result from a decrease ina liability from primary operations 
True False

true of false

if a liability decreses, then revenue may increase 
True False

true of false

the despreciation methods should be disclosed in the summary of significant accounting policies 
True False

true or false

Compositoin of fixed assets or any other account should be disclosed in the summary of significant accounting policies
True False

On jan1 year 1 brecon co installed cabinets to display its merchandise in customers stores.  Brecon expects to use these cabinets for five years.  Brecon Year1 multi step income statement should include

When a fixed asset is sold, gain or loss is recognized as part of income from ------------------------------------.

unrealized losses or gains resulting from changes in market value of avaliable for sale investmetns shuld be reported as a component of other comprehensive income in ----------------------------------------

Unrealized gains and losses on investments held for trading would be included in ---------------------------------------

Correction of errors of prior periods should be reproted as an ----------------------------------------------------------- not as an item of net income.

A change from unaccepted principle to accepted principle is an example of an error of prior period that should be reported by adjusting the ------------------------------------------------------- of the ------------------------ year presented if the year of the error is not presented or by fixing the error in the ---------------------- year if presented

Under US GAAP when making a change to LIFO it is considered ------------ to calulate the ------------------------ of the change, the --------------------------------------- amount becouses the first LIFO layer.

A change in accounting principle that is inseparable from a change in accounting estimate should be reported as a ----------------------------------------- and thus a component of income from ----------------------------------------------

The entire amount of an ectraordinay gain or loss or an unuasual or infrequently occuring item gain or loss from sale of fixed assets should be reported ----------------------------------------------------------------------- 

An effective income tax rate for operations for a full year should reflect what

inventroy losses from permanent declines are recognized in the --------------------------------------.

---------------------------------- market declines need not be recognized at interm when a trun around can reasonably be expected to occur before the end of the ------------------------

Advertisng costst may be ---------------------------------- to provide an appropriate expense in each for both interim and year end financial reporting

Advertisng costst may be accrued or deferred to provide an appropriate expense in each for both -------------------------- financial reporting

market price declines should be recognized in the interim period in which decline is judged permanent and later if they turn around are recognized as ------- in subsequent periods only to the ------------------------------------------.

market price declines should be --------------------- in the interim period in which decline is -------------------- and later if they turn around are recognized as gains in subsequent periods only tothe extent previously reported losses.

To be significant enough to report on a segment must be at least 10 % of

when determining if a segment is 10% of combined revenues, operating income, or identifiable assets, is interest income included?

operating profit by segments is based on the measure of profit reported to the ---------------------------------------------------------

if revenue from a single external customer is ----------- or more of ------------------- then the company should disclose this fact, the total amount of revenue from the customerm and the segment or segments reporting the revenues.

if revenue from a single external customer is 10% or more of total revenue then the company should -------------- this fact, the ------------------- from the customerm and the segment or segments reporting the revenues.

deficits accumulated during the development stage of a company should be reported as a part of --------------------------------------------

Financial reporting by a development stage enterprise differs from financial reporting for an established operting enterprise in regard to ----------------------------only

development state enterprises should present fiancial statements in accordance with GAAP and make additional disclosures such as

development stage enterprises should present fiancial statements in accordance with GAAP and make additional discloseures such as cumulative amounts from inception for the following