managerial accounting 79

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General Instructions

Complete

ATC 14-1 (Pg. 686)

  1. (Follow the cash) In a narrative format, answer the questions posed in the case for ATC 14-1 on page 690.
  2. What is meant by “presentation of financial statement information in common-size amounts rather than dollar amounts?” Why is this type of presentation sometimes more meaningful than use of actual dollar amounts?
  3. Why is trend just as important if not more important than information that pertains to only one year?

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