increasing accounts receivables, decreasing receivables turnover ratio and increasing days sales receivables is said to be a warning sign of low quality financial statements. but it is also mentioned that decreasing accounts receivable is a warning sign as it indicates that ...

Can you please help me in understanding the reason with a proper example as to why PAT under purchase method and equity method will be same?

Strozzi also values Rinaldo using the residual income model. She notes that last year Rinaldo made a one-time revision to its revaluation surplus due to an increase in the total market value of its fixed assets. This revision was included ...

The BIG Industrial income statement reflects a profitable 49% unconsolidated equity investment. Webster calculates the return on sales of BIG Industrial based on the reported income statement. Dodd notes that industry peers consolidate similar investments. Dodd asks Webster to use ...

A higher discount rate (5.38 percent instead of 4.85 percent) will reduce the present value of the pension obligation (liability). In most cases, a higher discount rate will decrease the interest cost component of the net periodic cost because the ...

A higher discount rate (5.38 percent instead of 4.85 percent) will reduce the present value of the pension obligation (liability). In most cases, a higher discount rate will decrease the interest cost component of the net periodic cost because the ...

Percy Byron, CFA, is an equity analyst with a UK-based investment firm. One firm Byron follows is NinMount PLC, a UK-based company. On 31 December 2018, NinMount paid £320 million to purchase a 50 percent ...

How to solve this question in easy way? current service cost

In the below question, the answer is Equity Method. But how can we use equity method when it is a controlling stake. The answer should have been “Proportionate Method”. Please clarify. A similar type of question is there on candidate ...