Businesses tend to resist providing forecast data to those outside the organisation because of potential loss of competitive advantage

Identify the current liability from the following list. Creditors Good Job Ltd. had the following list of Balance Sheet items: Equity $240,000, Non-Current Assets $500,000, Accounts Receivable $230,000, Bank Overdraft $300,000. Accounts Payable, the only item missing from the list, must be $190,000

The primary goal of management accounting is to provide information that improves the quality of managers' decisions A benefit of investing in a company listed on the stock exchange is ease of ownership transfer. The major financial statements are designed to provide a picture of the overall financial position and performance of the business. Which accounting report is designed to answer the following question: "How much profit was generated by the business from operations?" Income statement Which accounting convention has the effect that the employees will not appear as an asset on the entity's balance sheet? Money measurement convention Relevance is best defined as ensuring that information is useful to decision making Identify the asset in the following list of balance sheet items. Accounts Receivable How would the following situation be recorded in the Balance Sheet? The business has signed a contract for new machinery estimated to double the revenue over the next five years. The machinery will be delivered in six months' time and payment will be organised at that time. Not recorded in the Balance Sheet at this time

Timeliness is an important characteristic of accounting information because: relevant information needs to be reported without due delay Which type of company may sell its shares to the general public? Public company How would the purchase of the patent to exclusively produce hovering wheelbarrows be recorded in the Balance Sheet? These wheelbarrows are expected to significantly increase the earnings of the business. Asset The financial report that addresses the question of how much net business wealth increased or decreased over a particular time as a result of a business' operations is the Income Statement. The accounting convention that requires only those transactions that are capable of being expressed in monetary terms to be recorded is the monetary convention. Which of the following actions is in the best interests of the business in the long term? Investing in new technology Intangible assets have no physical substance but still provide expected future benefits. Identify the intangible asset from the following list. Copyright The use of historic cost is supported by which accounting convention? Reliability Information that is without bias or undue error is regarded as: reliable Which accounting report is prepared at a particular point of time rather than over a period of time? balance sheet Claims on the business are usually represented as two types. They are: Capital and Liabilities

From an investor's perspective, what is not an advantage of investing in a company listed on the NZ stock exchange over investing in an unlisted company? Limited liability. Identify the non-current asset in the following list. Trademarks, loans to outsiders and machinery are all likely to be non-current assets