... Value ϭ$ 12, 671,0 92
C. Loss on Restructuring ( 12, 671,0 92 Ϫ 9 ,27 9,080) ϭ$3,3 92, 0 12
Accordingly, the bank makes the following entry on 12/ 31/95:
Allowance for Doubtful
Accounts $3,3 92, 0 12
Notes Receivable ... restructured cash flows ϭ $5,567,448
32 Critical Financial Accounting Problems
Dukes, J. C., and H. G. Hunt III. ‘‘An Empirical Examination of Debt Covenant
Re...
... 15,000
52 Critical Financial Accounting Problems
revenue and realized holdings gains and losses. The subsequent valuation
in the balance sheet and the recognition of unrealized holdings gains and
losses ... follows:
50 Critical Financial Accounting Problems
NOTES
1. Loren A. Nikolai and John D. Bazley, Intermediate Accounting, 6th ed.
(Cincinnati, Ohio: South-West...
... generally accepted accounting principles, interperiod income tax
allocation is used to determine the deferred taxes and liabilities for all temporary
70 Critical Financial Accounting Problems
differences, ... receivable for prepaid tax and the deferred tax liability
is a liability for tax payable. It is a balance sheet–oriented approach and is
74 Critical Financial Accoun...
... 31, 1996
Interest Expense $3,6 82. 915
136 Critical Financial Accounting Problems
B. If the lease involves both land and building and meets the owner-
ship conditions and the bargain purchase option ... conditions and the bargain purchase option conditions, and
the fair value of the land and buildings is less than 25 % of the fair value
of both the land and buildings, t...
... Journal of Accounting Research 20
(Spring 19 82) , pp. 25 5– 62.
21 . R. M. Barefield and E. Cominsky, ‘‘Segmental Financial Disclosure by
Diversified Firms and Security Prices: A Comment,’’ Accounting ... 1 52 Critical Financial Accounting Problems
terest in the production and dissemination of segment sales and earning
data. Those studies relying mostly on survey dat...
... Value ϭ$ 12, 671,0 92
C. Loss on Restructuring ( 12, 671,0 92 Ϫ 9 ,27 9,080) ϭ$3,3 92, 0 12
Accordingly, the bank makes the following entry on 12/ 31/95:
Allowance for Doubtful
Accounts $3,3 92, 0 12
Notes Receivable ... principal by $2, 000,000
3. Extending the maturity date from December 31, 1996 to December 31, 20 00,
and
4. Reducing the interest rate from 12% to 10%.
42 Critical...
... The problem
is known as accounting for income tax allocation, and is the subject of
58 Critical Financial Accounting Problems
2. The investor holds between 20 % and 50% and therefore has significant ... follows:
50 Critical Financial Accounting Problems
NOTES
1. Loren A. Nikolai and John D. Bazley, Intermediate Accounting, 6th ed.
(Cincinnati, Ohio: South-Western P...
... Critical Financial Accounting Problems
administration and accounting of these pension plans, the FASB issued,
in December 1985, FASB Statement No 87, ‘‘Employers’ Accounting
for Pensions,’’
1
and ... 120 ,000
Deferred Tax Asset 20 ,000
Income Taxes Payable 100,000
b. Allowance to Reduce
Deferred Tax 20 ,000
Asset to Expected
Realizable Value
1 02 Critical Financial Acc...