The Nineth
Message
Dear Mitsu,
Thank you for your tenth message. My comments follow.
Sincerely,
Prof. Sue Stiner
Yamamoto Mituhiro wrote:
> Dear Prof. Sue,
>>I guess because of the Olympic
games in 2004 at
>>>Will you go to the Olympics in
> I like watching the Olympic games on TV.
> I wish I could go to the next Olympic games.
> But it is hard to take several holidays when I am a working member of society.
Yes, I know that feeling! In the
Many of us can choose when we want to take vacation. So some people will choose
to take off for the Olympics. Can workers
in
>>Wow, what a vacation you had! Did you take pictures? Did you make a
>>web page about your trip? If yes, please tell me the URL.
> I took 150 pictures in the trip. But my camera isn't digital.
> So I can't send those and make web page with the t pictures.
> I'm thinking I get a new dijital camera.
I don't have a digital camera, either. When I develop my pictures I get
regular color prints and a disk with all the pictures on it. Then I can
put up pictures on the web, or email them to friends. Could you do that, too?
>>You went to all those places in two weeks? You move fast! Did you go by yourself
>>or with others? If you went with others, how many were in the group?
>>What language did you speak when you were in the other countries?
> Yes! I went to all those places in two weeks.
> I stayed each country about 3〜4 days.
> That's very hard schedule!!
I agree: that is a very hard schedule!
> When I was in
> I went by myself. I could make many friends at youth hostel.
>>Nice website. Did you use one of the guidebooks this summer?
> Of course, Yes!
> All I need for my trip are a passport, money and the guidebook.
> I'm interested in national parks in
> I am planning to go to one for my next vacation.
> Is there a national park in
There are very many National Parks in
Shenandoah
It is a very beautiful park.
If
you come to the
>>Many of my flowers died. We learned to recycle water for the plants.
> I'm sorry to hear that..
> My cactus died during my trip.
So sorry your cactus died.
Homework;
1.Why is the Statement of Cash Flows important to
accounting information?
For investors,
Stockholders want the main business of the company to
generate
cash.
Healthy cash flow means a healthy company.
For creditors, When the loan is made, the borrowing company (borrower)
receives cash.
When
the loan is repaid, the borrower pays cash to the lender.
Cash flow information helps creditors decide if the
borrower can repay the loan.
Correct!
2. Look at the table that compares the direct and indirect methods.
What is the main difference between the indirect and direct methods.
a.in operating activities?
Direct: Independently analyzes each balance sheet non-cash account
for changes caused by cash transactions.
Indirect:Starts with Net Income on the Income Statement.
Cash transactions omitted from income are included.
Non-cash transactions included in income are removed.
This is called a "reconciliation to Net Income."
b.in investing activities? No differences.
Correct.
c.in financing activities? No differences.
Correct.
3. How do Japanese companies report their changes in cash during the year?
In 1997, MOF issued "Opinions on Setting Accounting Standards
for Consolidated and Parent-Only Cash Flow Statements."
And after, The standards are pretty much similar to those in FASB Statement.
The concept of funds is based on a narrower view, which limits the funds
only to cash and cash equivalents. The format is based on three sections of cash flows from
operating, investing, and financing activities. The direct method and indirect method are
alternatively allowed. In general, the cash flow statements in compliance with the proposed
accounting standards would be internationally compatible.
Very good!