Answer; 1-      Purchase price Cash paid Direct out of pocket Costs. 160.000 10.000   170.000 2-      Fair Values of the Net Assets Assets (-) Liabilities Current assets 120.000 Current liabilities 90.000 Plant assets 150.000 Long – term debt Face value      60.000 (-) discount (10.000) 50.000 Intangible assets 50.000     Total Assets 320.000 Total Liabilities 140.000 Net assets = total assets – total liabilities                   = 320.000 – 140.000 = 180.000 The change can be named as good will Purchase price – F.V. OF the net Assets. 170.000 – 180.000 = -10.000 “negative good...

  Answer; 1-  Purchase price Cash paid Direct out of pocket Costs. 500.000 50.000   550.000 2- Fair Values of the Net Assets Assets (-) Liabilities Current assets 280.000 Current liabilities 90.000 Plant assets 460.000 Long – term debt 280.000 Other assets 150.000     Total Assets 890.000 Total Liabilities 370.000 Net assets = total assets – total liabilities                  = 800.000 – 370.000 = 520.000 The change can be named as good will Purchase price – F.V. OF the net Assets. 550.000 – 520.000 = +30.000 “positive good will” Date Explanation Dr Cr March 31 1.purshase price ...

 links between financial statement  THE FINANCIAL STATEMENTS ARE LINKED AS SHOWN How do you can link between financial statements each others? try to configur the relation between financial staements as shown; Assets = Equity + Liabilities 1-  Assets are devided into cash and other assets.   - Cash is displayed in statement of cash flows.   - The result of statement of cash flow( Ending cash balance) is transferred to the cash value.   - And cash value is transffered to the beginning of the next year. 2-Statement of profit or loss explains the expenses and revenus and its result is transffered to the balance sheet at the credit side so, It usually added to the equity value.    -  The resulted value of net income reffers to a positive or negative value 3- The value of net profit can be an element resposible for the changes may appears on the statement of changes in equity.   - The  changes in equity depends on to variable they are th...

  -    Revenue is the benefit obtained by an industrial asset delivery of activity from the organization and susceptible to monetary quantification. -      The statement of changes in equity includes for each component of equity, a reconciliation between the carrying amount at the beginning and the end of the period. -    The balance sheet reports on company’s financial position at a point in time, assets, liabilities and equity are the elements of the balance sheet. -    A statement of profit or loss as at the end of the period. -    The income statement reports on a company’s performance over a period of time (between two balance sheet dates), presenting the income, expenses and the difference between them. -    Liabilities are present obligation of entity to transfer an economic resource as a result of past events. -      Assets are present economic resources controlled by the entity ...

    The total of NWR (net working capital) = WCR + NLB (net liabilities) Where WCR = (AR (account receivable) + INV (inventories) – (AP (account payable) + NA( net accrual )   NLB = C (CASH)- STB (SHORT TERM LOANS)           

  Users Types of needs, need accounting information Investors / shareholders        المستثمرين / حاملى الاسهم -          Assess how effectively the managers running the business -          تقييم مدى فعالية المديرين الذين يديرون الأعمال -          Assess the ability to pay dividends -          تقييم القدرة على دفع الأرباح -          Make decisions to buy, hold or sell ownership               company -          اتخاذ قرارات شراء أو تملك أو بيع شركة ملكية Lenders المقرضين -          Evaluate the risks of granting credit or ...

- Relations are established among various groups to enable smooth interaction towards the achievement of the organizational goals. - Each individual is made aware of his authority and he knows whom they are accountable and whom they have to report.  تقوم العلاقات بين المجموعات المختلفة لتمكين التفاعل التلقائى الذى يساعد فى تحقيق الأهداف التنظيمية  يكون كل فرد على علم بسلطته ويعرف من هم المسؤولون ومن عليهم اعداد التقارير