ppt07 Liabilities 会计英语(第四版) 教学课件

8
Interest Payable Example
What entry would Porter Company make on December 31, the fiscal year-end?
D ate
D es c rip tio n
D eb it
C red it
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income tax payable of $9,000.
Income
Tax
Statement Return Difference
Revenues Less:
Depreciation Other expenses
$ 1,000,000 $1,000,000 $
-
200,000 650,000
320,000 650,000
payable is recorded in an account called
deferred taxes.
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15
Deferred Income Taxes Example
Examine the December 31, 1998 information for X-Off Inc.
taxes following tax
law.
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14
Deferred Income Taxes
GAAP is the set of rules for preparing financial statements.
The tax law is the set of rules for preparing
income tax reporting. X-Off’s tax rate is 30%.
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16
Deferred Income Taxes Example
Compute X-Off’s income tax expense and income tax payable.
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12
Unearned Revenue
Cash is sometimes collected from the customer before the revenue is actually earned.
As the earnings process is
The liability is called interest payable.
To the lender, interest is a revenue.
To the borrower, interest is an expense.
Interest Rate Up!
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tax returns.
Results in . . .
Usually. . .
Financial statement income tax expense.
Results in . . .
income taxes payable.
The difference between tax expense and tax
Miami, Fl Location
Nov. 1, 1999 Date
Six months after this date
Porter Company
promises to pay to the order of Security National Bank
the sum of
$10,000.00
with interest at the rate
? Tax rate Income taxes
30%
30% payable for
$ 45,000 $ 9,000 the period.
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18
Deferred Income Taxes
Example
The deferred tax for the period of $36,000 is the difference between income tax expense of $45,000 and
Income
Statement
Revenues Less:
$ 1,000,000
Depreciation Other expenses
200,000 650,000
Income before taxes $ 150,000
? Tax rate Income taxes
30% $ 45,000
Tax
RetTuhrne inDcoifmfeeretnacxe amount computed based on financial statement income is income tax expense for the period.
DEBT
EQUITY
Funds from creditors, with
Funds from
a definite due date, and
owners
sometimes bearing
interest.
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3
Notes Payable
PROMISSORY NOTE
The likelihood of occurrence of the event may be:
1. Remote (slight)
2. Reasonably possible (more than remote but less than likely)
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20
Contingent assets
Contingent assets are claims or rights to receive assets, which may become valid eventually. Examples are: Pending litigation whose probable outcome is favorable Possible tax refunds in tax disputes Contingent assets are not accrued!
Maturity > 1 year
Current Liabilities
Noncurrent I.O.U. Liabilities
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2
Distinction Between Debt and Equity
The acquisition of assets is financed from two sources:
of 12.0% per annum.
signed John Caldwell
title
treasurer
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6
Notes Payable
On November 1, 1999, Porter Company would make the following entry.
In teres t P a y a b le
D eb it
C red it
2 0 0
2 0 0
$10,000 ´ 12% ´ 2/12 = $200
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10
Payroll Liabilities
Employers incur several
expenses and liabilities from
9
Interest Payable Example
On December 31, Porter Company would record interest payable with the following
entry:
D ate
D es c rip tio n
3 1 -D ecIn teres t E x p en s e
(120,000) -
Income before taxes $ 150,000 $ 30,000 $ 120,000
? Tax rate Income taxes
30%
30%
30%
$ 45,000 $ 9,000 $ 36,000
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19
Contingency: Defined
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17
Deferred Income Taxes Example
Compute X-Off’s income tax expense and income tax payable.
Income
Tax
Revenues Less:
Statement Return Difference
D a te
D e s c rip tio n
1 -N o vC a s h
N o teP a y a b le
D e b it
C re d it
1 0 ,0 0 0
1 0 ,0 0 0
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7
Interest Payable
Interest expense is the compensation to the lender for giving up the use of money for a period of time.