Why deferrals are reported in government financial statements separately?

Expert Solution

ekkarill92 answered 7 months ago

Why are the financial statements submitted to the government for tax purposes not always the same...

Why are the financial statements submitted to the government for tax purposes not always the same as the financial statements sent to investors? I understand that businesses want to make their numbers look good to investors, while also paying as few taxes as possible to maximize profits. However, the IRS and the GAAP both have different rules when it comes to recording financial information. This results in businesses having two different sets of accounting records; duplicating work in this way...

How are manufacturing costs reported in the financial statements?How are period costs reported in the financial...

How are manufacturing costs reported in the financial statements?How are period costs reported in the financial statements?

The following financial statements and additional information are reported

Required information Exercise 12-11 Indirect: Preparing statement of cash flows LO P1, P2, P3, A1 The following financial statements and additional information are reported. IKIBAN INC. Comparative Balance Sheets June 30, 2017 and 2016 2017 2016 Assets Cash $ 87,500 $ 44,000 Accounts receivable, net 65,000 51,000 Inventory 63,800 86,500 Prepaid expenses 4,400 5,400 Total current assets 220,700 186,900 Equipment 124,000 115,000 Accum. depreciation—Equipment (27,000 ) (9,000 ) Total assets $ 317,700 $ 292,900 Liabilities and Equity Accounts payable $...

Discuss what type of asset are reported and how they are reported for government wide financial...

Discuss what type of asset are reported and how they are reported for government wide financial statement and fund statement.

Why are governments required to produce both fund and government-wide financial statements? What is the major...

Why are governments required to produce both fund and government-wide financial statements? What is the major difference between the two sets of statements?

In reference to intercompany and the way they are reported in the financial statements of each...

In reference to intercompany and the way they are reported in the financial statements of each company in which they participate. What would be the result if a company records the transactions of the results of an operation between companies, but the company with which it performed them does not do so? What ethical factors would be affected if this practice has been done repeatedly? according to FASB

How are debt and stock investments reported in financial statements

1. Why are the notes to the financial statements an integral part of the financial statements?...

1. Why are the notes to the financial statements an integral part of the financial statements? Provide an example of what might be in the notes. 2. What is included in the summary of significant accounting policies disclosure? Provide an example of what might be included. 3. How does the role of the FASB differ from that of the Securities and Exchange Commission with regard to the establishment of accounting standards?

1. Why are the notes to the financial statements an integral part of the financial statements?...

1. Why are the notes to the financial statements an integral part of the financial statements? Provide an example of what might be in the notes. 2. What is included in the summary of significant accounting policies disclosure? Provide an example of what might be included. 3. How does the role of the FASB differ from that of the Securities and Exchange Commission with regard to the establishment of accounting standards?

In the preparation of fund financial statements, why the notes to financial statements are interesting?

Question

Why deferrals are reported in government financial statements separately?

Solutions

Expert Solution

Related Solutions

Why are the financial statements submitted to the government for tax purposes not always the same...

How are manufacturing costs reported in the financial statements?How are period costs reported in the financial...

The following financial statements and additional information are reported

Discuss what type of asset are reported and how they are reported for government wide financial...

Why are governments required to produce both fund and government-wide financial statements? What is the major...

In reference to intercompany and the way they are reported in the financial statements of each...

How are debt and stock investments reported in financial statements

1. Why are the notes to the financial statements an integral part of the financial statements?...

1. Why are the notes to the financial statements an integral part of the financial statements?...

In the preparation of fund financial statements, why the notes to financial statements are interesting?