Segmented Information

Accounting Question 1. Acquisition of this heavy equipment is an expend activity. abridgment: this smart set is a construction company, when it acquired this heavily equipment, it should be considered as a indomitable asset. fit to IAS7 (16) investing activities admit: payments to acquire, and receipts from the sales event of, property, plant and equipment, intangibles and other(a) long-term assets. Therefore, this dealings should be recognize and accounted for bullion paid to acquire fixed assets, intangible assets and other long-term assets 2. Income revenuees receivable on overpayment is an subscribe activity. digest: According to IAS7 (6) operating activities include: property payments or refunds of income taxes that whoremonger not be specifically identified with financial support or investing activities. In addition, the income tax is a tax levied on the income of individuals or businesses (corporations or other legal entities). It should be considered as operating activity, and be recognized and accounted for Payments of all types of taxes. 3. growing costs on product X34 argon an operating activity. Analysis: Its a manufacturing company; the development costs on product X34 live to its production costs and as a kind of deed costs.

In addition, according to IAS7 (6) operating activities including: cash payments to suppliers for goods and services. I theorize it should be considered as operating activity, and be recognized and accounted for Cash paid for goods and services. 4. Finance allow is a finance activity. Analysis: As we know, under IAS7 (17) fi nancing activities including: payment by a l! essee for the reduction of outstanding obligation relating to a finance lease (i.e. the capital element). Financing activities are those that result in changes in the size and composition of the contributed blondness and borrowings of the entity. So, this finance lease can enhance companys asset and liability or reduce companys outstanding liability. We can consider it as...If you want to get a full essay, set out it on our website: OrderCustomPaper.com

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