Accounting Journal Entries books of Company -Myassignmenthelp.Com

Question: Discuss About The Accounting Journal Entries Books Of Company? Answer: Introduction The main aim of this paper will be to discuss the topic that is based on accounting of depreciation with respect to fixed assets. The paper will help to provide a deeper insight regarding the variables that are present in accounting and its uses in the scenes related to real-life. Accounting that is related to depreciation has to be entered as an expense for the fixed assets that are present within the organizations. These entries are done based on a particular time period, which shows the value of the assets in the present time period. The concepts and definition of depreciation has been discussed in a further manner in the following stages of the assignment so that it can help in gaining a better understanding regarding the topic. Objective and Scope The primary objective of this project will be to develop an understanding regarding the variables that are present in accounting in a critical manner. The variables are related with fixed assets and depreciation and the various methods through which the fixed assets can be measured. A proper literature review will help in identifying the issues that are present with variable that are present in depreciation. The review of the literature will help in analyzing the application of depreciation that takes place on the fixed assets. The analysis that will be conducted will help in presenting the effect of depreciation that it has on the fixed assets and whether the depreciating value needs to be calculated on a yearly or a monthly basis. The comprehensive research will be conducted by considering the various views of the authors who have conducted studies on the topic previously. The analysis will be done using a qualitative method so that it can help in understanding the topic in a better manner by the previous researchers. Literature review According to Reid and Myddelton (2017), the framework that is associated with the standards and regulations of accounting will help the organization in adopting the policies of accounting with a conservatism degree. However, the use of the conservation policies within the organization has to be ignored with respect to the carrying of the fixed assets. Therefore, the companies need to follow the conservative policies so that it can help in covering the losses that the organizations have faced. Moreover, the difference between the intangible and the tangible assets is that the accounting policies that are less conservative is same within the schedule of depreciation. Warren and Jones (2018) stated that the conservative policies help in implementing the estimated income at a lesser sate and are in linearity with the fixed assets and the conservative policies. The characteristics have to be calculated with the charges in depreciation so that the expenses can be proportionate in the finan cial statements of the organization. Moreover Pauliuk, Wood and Hertwich (2015) stated that the efficient capital market will result in guiding the participants that are available in the market by using the principles of accounting in a multiple manner by the organizations. Additionally, the efficient market will help in eliminating the discrepancies that are associated with the policies of accounting so that the values can be similar. This will help the participants in estimating the demands that are present in the market so that the equity The figure that has been provided above shows the comparison in the depreciation rate with respect to the ratio that is present for impairers and non-impairers. The comprehensive study can be conducted based on the average depreciation rate, which needs to be calculated for the impairers and the significance of the non-impairers (Das 2017). Depreciation concept Carey, Knowles and Towers-Clark (2017) stated that it is the way through which the expenses on the price of the assets are calculated over the anticipated life of the assets. The primary factor in using depreciation is to increase the cost of fixed assets in an anticipated manner so that it can help in the identification of a certain area regarding the cost of the assets. The report of the organization is prepared by taking in to account the depreciated value of the fixed assets. Warren, Moffitt and Bymes (2015) stated that if the individuals of the organization consider the price of the asset at the fixed cost and is shown as expenditure in a single financial year, then it might lead to improper accounting transactions under the same principles. This is due to the fact that the revenue that is generated is not associated with the expenses of the company. Fixed asset concept Del Giudice, Manganelli and De Paola (2016) were of the view that fixed assets are the tangible long-term properties of the organizations that help in the generation of income for the organization. The fixed assets that are present in the company are not generally converted in to liquid cash within a particular time. The fixed assets that consist of properties along with plants and equipment are referred to as capital assets for the company. Additionally, in the balance sheet of the company, the statement contains liabilities, equity capital of the shareholders and the assets as well. According to Rambaud and Richard (2015), the assets are further divided in to non-current and current assets and its differences lie in the lives of the assets for which it can be productive. The assets that are current in nature can be converted in to cash within a particular time period by the organization. The fixed assets that are bought within the organizations are used in meeting the production of the companies and is also rented to third parties so that it can be used by the other organizations as well. Value measurement for fixed assets According to Liapis and Kantianis (2015), the assets have to be measured so that it can help in throwing light on the theories that are present in the accounting policies. The theories for measuring the value of the fixed assets at the starting point and at the end are known as economic value. The theory of value is done on the basis of production technique so that it can help in analyzing the roots that are present in the primitive societies and the use of the natural resources will help in the consumption of the goods by working with the fixed assets. Quantitative or Qualitative The study of the research will be conducted in a quantitative manner where the employees of the organization will be provided with questionnaire. The questionnaires will consist of the questions that will help in providing a better understanding of the topic. The researcher will distribute the questionnaire set among the employees and provide them with sufficient time so that the set can be completed and given back to the researcher for the purpose of its analysis (Bernard 2017). The researcher will be conducting interviews as well of the managers so that he/she can get a better understanding regarding the topic. The manager can provide better insights regarding the factor of depreciation that is present within the organization so that the researcher can be able to analyze the factors that are present with respect to depreciation (Davies and Hughes 2014). What software are used for Data analysis The response of the questionnaire that will be collected from the employees will be analyzed with the help of Statistical Package for the Social Sciences (SPSS). The use of SPSS will help in analyzing the data in a statistical manner This software is an algorithm that helps in analyzing and integrating the data that is available so that the applications of the statistics can help in yielding the results. The software can be used in an easy manner, as it is flexible and the users of various skill levels can get help for their major projects as well. it also allows the researcher in improving its level of efficiency by finding better risks that will help in minimizing the risks (Cronk 2017). The Theory taken for data analysis There are three types of theories that are used for the process of data analysis such as grounded theory, distributed cognition and activity theory. The grounded theory is a method of systematic induction that is used to conduct the research n a qualitative manner. This theory helps in utilizing the strategies present in methodology that are flexible in nature. Secondly, the researcher can use this theory in collecting and analyzing the data in a proper manner, as the theories helps in developing the analysis for the data (Bernard 2017). The Distributed Cognition is described as the coordination by analyzing the interactions that has taken place between the individuals with the help of representational media. The analysis is described as the system through which the sub-systems can be reconfigured in an dynamic manner. It is therefore a process that helps in defining the mechanisms that are present in the cognitive processes (Hinton, McMurray and Brownlow 2014). The Activity Theory helps in explaining the relationship between the object that is the things that are being done and the subject that is the human beings. The activity of the object is done by focusing on the activity where as the subject is the group or a person that is engaged within the activity. The agenda of the activity is mostly dual in nature where the primary objective depends on the interpretation of the subjective activities (Chambers 2018). This process of research will be based on grounded theory, as the researcher will be analyzing the data that will be collected from the questionnaire that will be distributed among the employees of the organization. The collection and tabulation of the data by the researcher will help him/her in reaching a finite conclusion, as the researcher will be able to show the data in a proper manner. Presentation of data through tables and diagrams The data that will be collected will be tabulated in tables and graphs. The table will consist of the percentage of the respondents who have chosen the options that has been provided in the questionnaire. This will help the researcher in identifying the percentage of employees who have chosen the options. The graphs will be tabulated based on the percentages that will be shown in tables. Decision by Statistical significance The Chi-square test is a test of the hypothesis that is done in a statistical manner as the distribution of the sampling is provided so that the test can be conducted to find out the truth of the null hypothesis. It is used to determine the differences that are present between the observed and the expected frequencies based on the observations (Khedker, Sanyal and Sathe 2017). The construction of the sum of squared errors through the sample variance will help in making the assumptions based on distributed data that is independent in nature. This test will help in testing the sampling distribution based on asymptotic truth, which means that the null hypothesis that has been taken up in the study is considered to be true. If the value is more that the minimum, that is expected from the test, then the null hypothesis taken in the researcher will not be considered to be true (Bernard 2017). Conclusion Thus it can be concluded that the research will help the researcher in providing better insights regarding the topic that has been taken up for the study. The use of the proper methods of data analysis will help the process of research to be used by other researchers in the future as well. The researcher will be able to present the data in a graphical format and analyze it so that a finite conclusion can be reached based on which the recommendations can be provided for the research. Reference List Bernard, H.R., 2017.Research methods in anthropology: Qualitative and quantitative approaches. Rowman Littlefield. Carey, M., Knowles, C. and Towers-Clark, J., 2017.Accounting: a smart approach. Oxford University Press. Chambers, J.M., 2018.Graphical methods for data analysis. CRC Press. Cronk, B.C., 2017.How to use SPSS: A step-by-step guide to analysis and interpretation. Routledge. Das, P.K., 2017. Financing Pattern and Utilization of Fixed Assets-A Study.Asian Journal of Social Science Studies,2(2), p.20. Davies, M.B. and Hughes, N., 2014.Doing a successful research project: Using qualitative or quantitative methods. Palgrave Macmillan. Del Giudice, V., Manganelli, B. and De Paola, P., 2016, July. Depreciation methods for firms assets. 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