what is the purchase and pooling method of accounting for business combinations?

Q: What is the accounting valuation basis for consolidating assets and liabilities in a business…

A: Assets: Assets are those items that provide value for money and future economic benefit for an…

Q: What items are included in the company's operating income?

A: The performance of the company will be evaluated using the operating income of the company.…

Q: Define the term business combination and differentiate across various forms of business…

A: Business combination refers to the combining of two independent firms for a common purpose.

Q: What is comprehensive income? How does comprehensive income differ from net income? Where do…

A: Comprehensive income:Comprehensive income represents the amount of net income plus other…

Q: Explain the term Using Ratios to Make Business Decisions?

A: There is lots of information in the financial reports summed up in numbers. We might not have…

Q: ation differ

A: Accounting: It is the process of recording any financial transactions incurred in the financial year…

Q: Sources of business ownership.

A: Introduction:- Funds play vital role in every business for running operations. Companies cannot run…

Q: Discuss the motives for business combinations.

A: A business combination is a combination of two independent firms in which one business acquires…

Q: Describe the procedure of using Ratios to make Business Decisions?

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Q: How should the disposal of a component of a business bedisclosed in the income statement?

A:

Q: Which financial ratio under the categories of profitability, asset utilization, liquidity, and debt…

A: Financial ratio can be defined as the accounting ratio which helps the business in evaluating the…

Q: What is a buy and sell business?

A: The Solution is given in the next step

Q: How do companies use information from their accounting systems and statements?

A: Accounting systems and statements are often used to support management decisions. An income…

Q: What are the two ways companies can present comprehensive income?

A: Comprehensive income:   Comprehensive income represents the amount of net income plus other…

Q: discuss the forms of business organization as to ownership.

A: There are different type of business organisation which are prevailed in the current market.  The…

Q: Explain the accounting function within a firm. What does this function do, and why is it important?…

A: Accounting function: It is possible to classify accounting functions into two groups of functions,…

Q: What does an Income statement tell about a business?

A: An entity requires details about its operations such as profits, financial position and cash flows…

Q: Explain the effect of operating profitably on the balance sheet of a business entity.

A:

Q: What is business entity concept?

A: PLEASE GIVE A LIKE   .    It is a concept of accounting which refers to the transactions taking…

Q: How do business transactions affect the accounting records of a company?

A: Accounting Records - Accounting records are the transaction recorded by the organization from past…

Q: Discuss how Floating and Fixed debentures affects the profitability of a business?

A: In floating debentures the interest rate of such debentures change will the level of changes... Such…

Q: How would you describe the difference between cash basis accounting and accrual basis accounting?…

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: What does ‘ROCE’, EPS and P/E ratios and why are they important to a business entity?

A: ROCE means Return on Capital Employed. EPS means Earnings Per Share. P/E ratio means Price Earnings…

Q: Define comprehensive income. What are the two ways companies can present comprehensive income?

A:

Q: Explain how FASB Statement #141 changed the accounting for business combinations.

A: Introduction: Accounting for the initial business acquisition can be complex and time-consuming. The…

Q: How is the use of accounting information diverse and varied?

A: Definition: Accounting Information: Accounting Information refers to the data which makes a decision…

Q: Can ratio analysis describe a business properly?

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Q: What is the significance of a pro forma income statement in the context of a company?

A: Define the term: The phrase "for the sake of form" refers to the pursuit of formality. It is used to…

Q: who are users of financial statements that applies to each different type of business analysis?

A: Business analysis is the process of evaluating the risks and prospects of the organization for…

Q: Is accrual accounting more closely related to a company’s goal of profitability or liquidity?

A: ACCRUAL CONCEPT - generally, the accrual concept recognizes revenue as and when it is accrued or…

Q: How are financial statements used by business?

A: Answer: Introduction: Financial statements are nothing but detailed reports of a company, individual…

Q: what are the accounting standards codification and how companies apply them to their activities?

A: Accounting standard: It is a set of basic rules and principles which is set by the Financial…

Q: How does comprehensive income differ from net income? Where do companiesreport it in a balance…

A: Definition: Comprehensive income: Comprehensive income represents the amount of net income plus…

Q: How many parts business accounting is divide

A: Accounting is a technique of summarising and recording business economic transactions in the…

Q: What makes up the Financial Structure of a business?

A: Financial Management: Financial management comprises of two words i.e. Finance and management.…

Q: What are the steps used when analyzing a business transaction?

A:

Q: How do you find total sales in financial accounting?

A: Total sales in accounting: It refers to the net revenue of the organization that is reported in the…

Q: What occurs when a business factors its receivables?

A:

Q: how difference the purchase and pooling method of accounting for business combinations

A: Amalgamation takes place in two ways ie, in the nature of merger nd in the nature of purchase. When…