Financial Accounting Concepts Essay Example | Topics and Well Written Essays - 500 words

Financial Accounting Concepts - Essay ExampleThe intangible assets lumped in one broadside is also listed under the non-current assets. This account may name the patents, trademarks, reputation, skilled management or well-trained labor force of the company. It should be noted that some accountants ar averse to record this type of assets unless they can be promptly valued (Brealey, Myers & Marcus, 1995).The liability section of the balance sheet, along with the shareholders equity, shows the financial resources utilized for the procurement of assets (Brealey, Myers & Marcus, 1995). Similar to assets, liabilities are also classified into current and non-current liabilities, obligations which are due in the short-term and long-term, respectively.Non-current liability accounts of WMT in the balance sheet include long-term debt and other non-current liabilities, which represent the WMTs loans from banks and investors which are not immediately due. Furthermore, deferred income tax is a ccounted for in the balance sheet. As the name suggests, this is the outstanding income tax due which will have to be pay to the government. This section also includes the account for minority interest which is the liability of the company to investors with non-controlling stake or interest over the company.On WMTs balance sheet as at end-2004 shown in MSN Money, only the commo