MGCR 211 Lecture Notes - Lecture 2: Weighted Arithmetic Mean, Gross Profit, Gross Margin
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Fiscal year: period that a company or government uses for accounting purposes or preparing financial statements. For canada fiscal year runs from april 1 to march. Calendar year: conventional year that begins on january 1 and ends on december. Reports the company"s assets, liabilities and owner"s equity at a specific. Not the journey, but current standing point in time. Assets = liabilities + shareholder equity (ale) Something that has probable future value that can be measured. Company can control the benefit from the future value through ownership or rights to use the assets. Current assets: assets, which the company expects to convert to cash, sell, or consume during the next (cid:883)(cid:884) months or during the company"s operating cycle. Inventory account: merchandise held for sale to customers, raw materials, work-in-process and completely finished goods that are considered to be the portion of a business"s assets that are ready or will be ready for sale.
