Caribeean Case

Answer of the Question no. 1 1. lay Regina orders flowing summations and its authoritative liabilities. What distinction makes an asset or financial obligation current? (4 marks) underway Assets: * Cash * placard receivable * Inventory Current Liabilities: * Account account fulfill overable * Interest Payable * Salary payable The main characteristic of current assets is, it batch be pronto converted to cash. normally current assets denotes cash, accounts receivable, inventory, marketable securities, prepaid expenses and different liquid assets which can be liquated indoors 12 months. On the other side, if the federations debts or obligations that pull in to pay off inwardly a short(p) diaphragm of time, normally in 1 year, atomic number 18 consider as current liabilities. It includes short landmark debt, account payable, accrued liabilities and other debts. 2. learn Regina Companys noncurrent assets and its noncurrent liabilities. What characteristic makes an asset or liability noncurrent? (4 marks) Non-Current Assets: * Land * Buildings * Accumulated wear and tear (it is a contra asset, usually deducted from long term assets such as buildings, machineries etc.) Non-Current Liabilities: * Mortgage Payable * Bond Payable righteousness: * Common Sh atomic number 18 * Retain Earning * Dividend declared (Dividend declared is inform in the statement of changes in filiationholders equity. Usually deducted from net income in swan to report the earnings for sale for common stock on the income statement.) If the assets cannot be liquid within a short period of time, usually takes more than a year or more to liquid it into cash are consider as non-current assets. Lands, machineries, buildings and so forth consider as non-current assets. With the same period of time frame, if a companys debts or obligations which have to pay within m ore than one year are consider as non-curren! t liabilities. Mortgage payable, attach payable, long term notes and so on can be a good...If you call for to get a full essay, order it on our website: OrderCustomPaper.com

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