Bookkeeping

IFRS 10 Consolidated Financial Statements outlines the requirements for the preparation and presentation of consolidated financial statements, requiring entities to consolidate entities it controls. Control requires exposure or rights to variable returns and the ability to affect those returns through power over an investee. If a parent company has 50% or more ownership in another …

Consolidation Method Accounting for Majority Control Investments Leer más »

Net income is the actual profit or gain that a company makes in a particular period. Comprehensive income is the sum of that net income plus the value of yet unrealized profits (or losses) in the same period. However, since it is not from the ongoing operations of the company’s normal line of business, it …

3 4 Statement of Income and Comprehensive Income Intermediate Financial Accounting 1 Leer más »

The cost accounting technique of the high-low method is used to split the variable and current portion of long term debt fixed costs. The mathematical expression for the high-low method takes the highest and lowest activity levels from an accounting period. The activity levels are then apportioned against the highest and lowest number of units …

High-Low Method: Learn How to Estimate Fixed & Variable Costs Leer más »