• We need your support!

    We are currently struggling to cover the operational costs of Xtremepapers, as a result we might have to shut this website down. Please donate if we have helped you and help make a difference in other students' lives!
    Click here to Donate Now (View Announcement)

Economics, Accounting & Business: Post your doubts here!

Messages
553
Reaction score
1,080
Points
73
Messages
553
Reaction score
1,080
Points
73
Guys next time you guys post a screenshot please please put the year also. Showing xtremepapers in your phone and asking your teacher for help is not a good idea :mad::mad:
 
Messages
191
Reaction score
175
Points
53
350+140-60-30-100

take into account all dividend "paid" not proposed
minus any transfer to reserves

According to IAS 10, Events after the statement of financial position date, proposed dividends are non-adjusting events as they have been proposed after the drawing up of financial statements and have no part in the accounts.
This way:
  • neither it will appear in Statement of changes in equity
  • nor in the Bank a/c
  • nor will it be in the Current liabilities section.
The ans, should therefore be 350 + 140 - 60 - 30 - 100 = $300 and the ans. is C.
 
Messages
191
Reaction score
175
Points
53
haha then even prepaid/accrued expenses expenses also :p :D ...
According to IAS 10, Events after the statement of financial position date, proposed dividends are non-adjusting events as they have been proposed after the drawing up of financial statements and have no part in the accounts.
This way:
  • neither it will appear in Statement of changes in equity
  • nor in the Bank a/c
  • nor will it be in the Current liabilities section.
The ans, should therefore be 350 + 140 - 60 - 30 - 100 = $300 and the ans. is C.
 
Messages
8,392
Reaction score
9,461
Points
573
Proposed dividends are no longer treated. If a dividend is proposed, it means that directors have recommended the dividend but they cannot pay that unless the ordinary share holders approve of it. The approval is given after final accounts are published for the year end and that is usually done till couple of months of next year. For example, the published accounts for 31st Dec 2013 (year end) would be available to the share holders till March 2014, when they'd approve of the dividend, only then it would be paid. According to IAS 10.
 
Messages
420
Reaction score
1,426
Points
153
It is not from the benevolence of the butcher, the brewer, or the baker that we expect our dinner, but from their regard to their own self-interest
-Adam Smith, 1723-1790

~Just wanted to share this :D
 
Messages
886
Reaction score
1,252
Points
153
Whats the correct formula to find net debts ??
Net%20Debt.gif
this formula didnot work for
http://papers.xtremepapers.com/CIE/Cambridge International A and AS Level/Accounting (9706)/9706_w10_qp_42.pdf
Question 2 Part C)
Should we not put the current liabilities as short term Debt o_O ??
David Hussey
 
Last edited:
Top