Capitalized interest
K-IFRS : disclosed on notes.
Business Accounting Standard 1101 : selective exemption of accounts.
KT&G doesn’t record capitalized interest on financial statements.
‘fair level’ : KT&G followed well the standards of IFRS, have adopted them clearly and without problem.
Analyzing the financial statement of KT&G, the accounting policies were following
the
The accounting fraud is a deliberate manipulation and abuse of the recording of revenue or expenses in order to achieve an operating profit of the company in order to appear better than it actually is. Some companies do things that constitute fraud are:
– No list of prepaid expenses and other assets in connection – Not the classification of certain assets and liabilities – Re
2. By recognizing rentals as equipment sales in the current period, does this increase or decrease Xerox’s sales revenue in the future period?
Since such creative accounting is basically moving up future revenue boost current revenue, Xerox’s revenue in future periods is expected to decrease. If dealt properly, Xerox would have recorded revenue by $10 each month However, if Xerox records it
2. By recognizing rentals as equipment sales in the current period, does this increase or decrease Xerox’s sales revenue in the future period?
Since such creative accounting is basically moving up future revenue boost current revenue, Xerox’s revenue in future periods is expected to decrease. If dealt properly, Xerox would have recorded revenue by $10 each month However, if Xerox records it
the net cash flow in the CFS from one year to the next should equal the increase or decrease of cash between the two consecutive balance sheets that apply to the period that the cash flow statement covers.
e. Check the main accounting policies of your company. Choose one interesting/doubtful accounting policy. Then, comment on the chosen accounting policy.
<Accounting Policies of three