Financial Accounting Discussion Questions
*** No Min Word Count- Does not need to be in APA Format***
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DQ 1 – Current Liabilities
- Why is unearned revenue considered a liability? When and how is the unearned revenue recognized in the financial statements?
- How would you describe the accounting procedures for notes payable and accounts payable? Compare and contrast.
DQ 2 – Long-Term Liabilities
About Long-term Liabilities:
- Why do companies issue bonds? Would you rather buy a bond at a discount or a premium rate? Why? What is the determining factor of whether a bond is sold at a discount, face, or premium?
- What is the straight-line method of amortizing discount and premium on bonds payable? Provide an explanation of the process.
