during the month of april kpv co. had cash receipts from customers of $79,000. Expenses totaled $52,000 and accrual basis net income was $14,000. There were no gainsor losses during the month. \n\na. calculate the revenues for kpv co. for april?\n\nb. Explain why cash receipts from customers can be different from revenues?
123280
Revenue is $66,000 (52,000 + 14,000)\n\nThe difference is due to the fact that the accrual method recognizes revenue when it is earned (i.e. when the sale is made) rather than when the cash is received.  They received more than their revenues for April because they collected Accounts receivable from prior months.  The difference of 13,000 was already recognized as revenue in a prior month.\n\nSide note, do your own homework - we can't be there for you during your exams.  If you can't do a simple problem like this then I would assume you will not do too well on the exam unless you do it yourself.
639791
Cash reserve = free cash on hand; think of it as a company checking account\nRevenue = total amount of money earned / accounted for, based upon the rules of GAAP, during a given time period\nAnnual income = it depends on how they calculate ann income.   There are many ways that you can value a company, one of which is a series of cash flows, discounted back to by the current interest rate, to put the cash in today's dollars.  If this company is claimin income of $1M, but either has liabilities that its not taking into consideration before this, then 400k might be reasonable.   I would be nervous as to how this company earns its income, and whether its stabile or not.  If there arent 400 in liquid assets, you might be buying a company that is not sustainable, that you will may or may not have a way to get your 400k back.
422681
Generally, you can have a reserve account for taxes in a business if the business has profit.  This is done by crediting a tax payable account (balance sheet) and debiting a tax expense account (Income statement).  More information is needed, like what kind of taxes are you trying to accrue for.  Is your business cash or accrual basis. \n\nFor income tax basis, these taxes are accrued at year end only - for an accrual basis entity.\n\nfor cash basis - you would debit the expense when the taxes were paid.\n\nFor taxes such as sales tax or payrll tax, these taxes are generally accrued at month, period or year end regardless if the entity is accrual or cash basis.\n\nPlease consult your businesses tax advisor for further explanation.  If you do not have a tax advisor, please be sure to find a reputable CPA firm.
478574
The balance of the P & L (Profit and Loss) account at year end needs to be reset to zero for the start of the accounting New Year.\nTherefore we transfer it to Retained earnings.\n\nSo, credit Retained Earnings, and Debit Net income.
57287
Small busiensses tend to run out of cash fast.  So you really want to keep track of your cash flow.  Also look at if you have too much A/R.  Will you be able to pay your A/P.  How long does it take for your inventory to turn.  If you run out of cash, where can you get credit.  Good accounting can help you keep an eye on these issues to mange your business.
283857
did you use the interest and taxes as deductions in the past (you should not have technically)\n\non non personal property (you did not live there) that is not (has not) generated income the interest and taxes are added to the base cost of the property (this will help reduce your gain; it is not a capital gain though)\n\na property that is purchased to be sold and not rented is treated the same way as inventory would be treated (you pay income tax, it is not a capital gain)\n\nif you have a loss it is applied against your income to reduce your taxable income\n\n\n\nTaxation – Lesson 7\nCMA Canada - July 2004 Page 31\nBusiness income versus capital gain\nIn most cases, a business is readily identifiable by the nature of its activities. For example, the manufacture and development of computer chips for resale would constitute\na business. Sometimes, however, it is difficult to distinguish whether income from a transaction is business in nature or capital gain. The sale of land can be either a capital transaction or a business income transaction depending on the facts of the circumstances.\nThe distinction is important because, as you will see, business income is fully taxed whereas only one-half of capital gains are taxed. Moreover, business losses can be\napplied against all other sources of income (e.g. capital gains or employment income), whereas capital losses are only available for offset against capital gains. Business income\nis taxed less favorably while business losses are treated more preferentially. The full amount of business income is taxed in the year that it is earned while only one half of\ncapital gains are taxable, in the year in which the gain is realized. Business losses, unlike that of capital losses, can be used to offset income from all other sources.\nThe chief factor in distinguishing a business activity from a capital gain transaction is the intended use of the property on acquisition. The principal reason for the purchase and the subsequent use of the property will determine the type of income of the profit (loss)\ngenerated upon sale. If the property was acquired for the purpose of resale, then its disposition is likely business income. i.e. if the property purchased is considered\ninventory, then all profits triggered upon sale would be considered business income.\nConversely, property acquired for the purpose of providing the owner a long-term benefit is likely capital property; its disposition creates a capital gain or loss, i.e. any gains generated upon the sale of capital assets used in the course of running a business are deemed to be capital gains.
447454
According to my SBT Bank Acct#  my monthly premiums are paid up to date as of October (this year).  Recently, I received a notice claiming arrearages of 'rupees 2739/-'.  Please contact me as soon as possible regarding this matter at (ph).  ....\n\nBy the way..you really should speak with someone directly and then follow up with a letter.  Just a suggestion. ;)  Peace.
173316
I don't feel like working it out, but you just discount back the cash flows assuming they're constant, and then do some simple algebra.\n\nIt looks kind of like\n\n(785000 - 137) = (x / 1.07) + (x / 1.07^2) + ... (x / 1.07 ^10)\n\nSolve for x.
561830
If this guy is charging you for rental receipts, he obviously needs to learn a little something about doing business.  I can just see it now... you're in court and the judge hears that he is charging you for receipts... well, anyway, a receipt would be a reasonable request for a payment made.  As the recipient of the payment, it is customary for the landlord to "absorb" the cost of the receipt regardless of whether it's $.45 or $45,000,000, unless of course, this jerk put it in your rental agreement that you are responsible for the charge.  Either way, you should seriously consider finding another landlord.  And here's another tip:  whenever you move into a rental property, take pictures of everything on the property and date them with witnesses!  I once moved from a rental and the landlady would not return my security deposit because she said that I did "extensive damage" to the home.  The pictures she produced were from another property that I'd never been to.  The court said she has pics, you don't... YOU LOSE!  Protect yourself, it cost me a grand.
27336
The problem that you may have, is not taking into account the opportunity costs, which is the money that mike would be making if he wasn’t running a business(70K), and also the money mike's not getting from renting out the building that he has(20K).adding these costs to the costs of running the business results in:\n70K+20K+95K+170K=355K
533305
Wow, do you ever know how to phrase a question.  Let's see if I can guess what you are saying.  You have "interest expense" and "dividends" and you are concerned about costs.\n\nInterest can be an expense or revenue, depending on whether you are paying for what you owe or receiving for what you loaned, respectively.  Dividends are payments from profits for stockholders.  Since we are talking about costs, the first issue is 'costing' borrowed money.  \n\nWhy does a firm borrow money?  To use it to help make more money.  If you are buying raw materials to work with, then you add value to the materials when you work on it, but still there are waste and shortage issues (I bought boards 8 feet long, but they have to cut them to 7 feet, so I lose a board for every 8 we work with), so some of the value is lost in the process of using.  This is different from borrowing money to buy a million coins to cull out the old and rare in the batch, then I only lose money if some cheaper foreign coin is unaccountably in the mix and I won't get full credit when selling them back to the bank or store chain I got them from or whatever.  If I had to cash in the whole thing at the moment, such as if the bank has a "call" provision and they simply said they wanted their money back right now, I would come up short on the prinicple of the loan, perhaps to a greater degree than I would on the interest on the loan for the period elapsed.  \n\nA loan that paid for a hundred truckloads of tomatoes is expensed for the amount of the delivered tomatoes, but if the loan is suddenly "called" and you have them half squashed for making ketchup, you aren't anywhere near a sellable product for which you can repay the loan and perhaps profit from it, the original intent of the enterprise.  The cost of delivered tomatoes and the cost of processing are just costs.  The cost of tomatoes is just part of a larger operating expense, but one that is tied to the others.  A certain high-dollar mashing and straining machine will just sit there if there are no tomatoes.  The operator will likewise be an empty expense if there are no tomatoes.  You borrow money to buy tomatoes, suddenly that cost gets bundled with the operating and amortization costs of the machine that processes them, it is a bundled value that could easily exceed the cost of interest during that operating day.  By the way, I know a company in Arizona that had something like this happen to it, and the stockholders got no dividends--their company had to close because of some absurd financial decision to terminate a contract in the middle of operations.  No one wanted the half-mashed tomatoes as a small ketchup maker was forced to close its doors and layoff a lot of good people when a manager in another company wanted to simplify his life by getting this contract off his to-do list before vacation.  Business can be like that at times.
531976
Way too complicated for an answer here, me thinks.  Spend the cash for a good CPA or Comptroller.
302240
when you sell the shares- the gain will be either short term or long term depending on how long you held them--short term gains are taxed at ordinary income rates--long term rates at the new 15 % capital gains rate-- the mf co will send you a statement which may show some long term capital gains depending on their portfolio- usually the statement from the mf co will spell it all out, including dividends paid to you during the year- its all very simple-- the only thing you should check is how long you have had the shares- i believe the time period for long term gain is one year- double check that- if you are close to that but not there -consider holding the shares to get the very low 15 % long term capital gains tax rate- it is worth waiting for-- i am a retired CPA & CFP__good luck to you--by the way- you can also call the mf co for explanation and some advise free of charge !!
179504
I was checking this out the other day, but bought PTEN instead.  This stock is fundamentally unsound, the only positive is the 31% quarterly revenue growth, undoubtedly due to the increase in gold prices.  Technically, it's another story; all indicators are Very Bullish in the Short, Mid and Long terms and the stock seems to be forming a solid base finding support at 5.94.  Personally, I'd buy this stock if I weren't currently in another issue, though I rarely get involved with an issue that is fundamentally weak because it makes very little sense.  \n\nHaving said that, if I get stopped out of PTEN and KRY is still in it's base, my play will be to get in as close to 5.75 as possible with a fixed stop loss at $4.90 because volatility could push it to it's previous resistance at 4.91.  If it closes below 5.25 I'll be keeping a close eye on it, and will consider cutting my losses, depending on indicators.  If it stops me out before I can react I'll just take my loss and move on, but it will be a much larger loss than I normally take, because I usually set an 8-10% stop loss, so I would consider this a risky play.  However, if the stock breaks it's resistance at 6.14 and closes higher than it's previous high of 6.25 I'll change my stop loss to a trailing stop of 10% and just hold on, because I can see this stock easily moving to 9-12 before it's next pull back.\n\nWhatever you do, protect your downside.
506054
First step is to list all the events that cause a cash inflow or cash outflow.  Then make sure the list is in chronological order (earliest event first, then the next, all the way through to the last).  Make sure that the events are truely cash related: for example if the entity incurs a liability on 1 August, receives an invoice on 31 August, and pays the invoice on 14 September - the cash outflow only occurs on 14 September.\n\nHow can this be used to structure the analysis?  It can be very helpful to see exactly when capital providers (shareholders or creditors) need to provide funds, and exactly when they can expect to receive funds.  It can also help to determine whether the company has enough cash on hand to meet its needs - sometimes a company can be profitable on paper but not have enough liquid cash to meet its needs.\n\nThis sounds like part of a homework question you are having trouble with.  If you are looking for additional accounting based examples, the case study below is a great example of a company with liquidity issues.
143977
Stock dividends would not impact cash or liabilities.  I imagine it would just increase paid in capital and decrease retained earnings.  Just rearranging things.\n\nCash dividends are different, but you didn't ask about that.  Are you sure you're not referring to these?  Because cash dividends would decrease cash and retained earnings.\n\nIf you really have to pick just one, the question is wrong.  Go with decrease cash because there might some filing fees involved or something garbage like that.  Liabilities would be unchanged.\n\nThey really aren't related.  If you can "write-in" no change, do that.  If it's a multiple choice thing, just pick one at random.  It's pretty much a toss-up.  Maybe decrease cash as mentioned above and decrease liabilities.  No real idea.
120671
As a business librarian, I suggest these three, quick, easy ways to get accurate answers to all the information you asked for:\n\n(1) Visit the company's Web site and look for "Investor Relations" or "Financials." They should have SEC filings, such as a 10-K, which will give you current information released by the company to its shareholders.\n\n(2) Visit http://www.hoovers.com/free/ and search this business database for more accurate business information.\n\n(3) Visit http://www.marketwatch.com/news/default.asp?siteid=mktw to get up-to-the-minute stock information.