[ACTG 2011] - Final Exam Guide - Comprehensive Notes for the exam (23 pages long!)
Document Summary
Talk about the change in the financial ratios. You ha(cid:448)e (cid:373)o(cid:396)e people to (cid:272)a(cid:396)e a(cid:271)out a(cid:374)d it"s (cid:373)o(cid:396)e se(cid:396)ious a(cid:271)out k(cid:374)o(cid:449)i(cid:374)g (cid:449)hat (cid:449)e"(cid:396)e doi(cid:374)g. I"(cid:373) a ca, audito(cid:396: make sure they are doing everything correctly and not suggest anything that would ske(cid:449) the de(cid:272)isio(cid:374)s. no (cid:396)e(cid:272)o(cid:373)(cid:373)e(cid:374)datio(cid:374)s just tell the(cid:373) (cid:449)hat"s (cid:396)ight a(cid:374)d (cid:449)(cid:396)o(cid:374)g. Vi(cid:374)(cid:272)e [the pote(cid:374)tial i(cid:374)(cid:448)esto(cid:396) (cid:449)ho"s (cid:396)e(cid:272)ei(cid:448)i(cid:374)g the fi(cid:374)a(cid:374)(cid:272)ial state(cid:373)e(cid:374)t] (cid:449)a(cid:374)ts to see high profitability but faithful representation: this will result in bias in skewing into higher profits in order to get his investments. Jed and arielle: biased for profit max. They do(cid:374)"t (cid:271)elie(cid:448)e that they should (cid:373)ake a(cid:374)y jou(cid:396)(cid:374)al e(cid:374)t(cid:396)ies a(cid:374)d tell the(cid:373) that they (cid:374)eed to make it and which ones. [pa(cid:396)a (cid:1009)] they (cid:272)a(cid:374)"t (cid:449)(cid:396)ite it as cogs. They (cid:272)a(cid:374)"t (cid:396)eallo(cid:272)ate (cid:271)ut they (cid:374)eed to pay se(cid:448)e(cid:396)a(cid:374)(cid:272)e so they need to set up a (a/p) but first see if it meets the criteria of a liability.
