ACCT1511 Study guides, Class notes & Summaries

assets A resource controlled by the entity as a result of past events and from which future economic benefits are expected to flow to the entity future economic benefits The potential to contribute to cash flow through its use and exchange controlled by the entity An entity controls the asset if it controls the benefits expected to flow to the entity result of past events Must result from past transactions or other past events historical cost What did we pay for the asset or how much d...

BA summary of the entries in the Cash ledger account of Staple Ltd for the month of January was as follows in $000. Opening balance, 50 Cash from accounts receivable, 40 Cash sales, 25 Dividends received, 10 Cash from issue of shares, 60 Payments to accounts payable, 30 Payments for wages, 15 Purchase of land, 20 Payment of dividends, 20 Purchase of plant, 45 Payment of taxes, 25 Payment of interest, 10

LO1: Define an asset and list the three essential characteristics of an asset.An asset is a resource controlled by the entity as a result of past events and from which future economic benefits are expected to flow to the entity. Three essential characteristics: 1. Future economic benefit (or service potential). 2. Controlled by the entity. 3. Result of past events. LO1: Describe these three characteristics of assets.1. Future Economic Benefits - the potential to contribute to cash flo...

assets A resource controlled by the entity as a result of past events and from which future economic benefits are expected to flow to the entity future economic benefits The potential to contribute to cash flow through its use and exchange controlled by the entity An entity controls the asset if it controls the benefits expected to flow to the entity result of past events Must result from past transactions or other past events historical cost What did we pay for the asset or how much d...

BA summary of the entries in the Cash ledger account of Staple Ltd for the month of January was as follows in $000. Opening balance, 50 Cash from accounts receivable, 40 Cash sales, 25 Dividends received, 10 Cash from issue of shares, 60 Payments to accounts payable, 30 Payments for wages, 15 Purchase of land, 20 Payment of dividends, 20 Purchase of plant, 45 Payment of taxes, 25 Payment of interest, 10 Closing balance, 20

LO1: Define an asset and list the three essential characteristics of an asset.An asset is a resource controlled by the entity as a result of past events and from which future economic benefits are expected to flow to the entity. Three essential characteristics: 1. Future economic benefit (or service potential). 2. Controlled by the entity. 3. Result of past events. LO1: Describe these three characteristics of assets.1. Future Economic Benefits - the potential to contribute to cash flo...