1. Conceptual Overview of Liabilities Liabilities are probable future sacrifices of economic benefits arising from present obligations of a company to transfer assets or provide services to other entities in the future as a result of past transactions or events
There is generally a higher degree of uncertainty regarding the future benefits that may be derived. Their value is subject to wider fluctuations because it may depend to a considerable extent on competitive conditions
Intermediate Accounting 8 Property, Plant And Equipment I. Classification as property, plant and equipment To be included in the property, plant, and equipment category, an asset must have three characteristics:
1. Concepts of income Intermediate Accounting 4 The Income Statement and Income Recognition Capital Maintenance Concept Under this concept, corporate income for a period of time is the amount that may be paid to stockholders during that period and still enable the corporation to be as well off at the end of the period as it was at the beginning
1. Conceptual overview and uses of the Statement of Cash Flows Intermediate Accounting 5 The Statement of Cash Flows A statement of cash flows is a financial statement of a company that shows the cash inflows, cash outflows, and net change in cash from its operating, investing, and financing activities during an accounting period, in a manner that reconciles the company's beginning and ending cash balances