By James D. Stice Earl K. Stice W. Steve Albrecht Monte R. Swain
It doesn't matter what your occupation plans or destiny pursuits, ACCOUNTING: options AND functions, 10e is helping you improve a high-quality realizing of accounting and its value in company this present day that may positioned you good sooner than the contest. geared up round company actions, the textual content balances an creation to accounting tactics with an emphasis on selection making. You not just study the mechanics of getting ready accounting info, but in addition how you can use what you are studying to reinforce company judgements. This edition's vigorous, interesting writing type is choked with real examples exhibiting how actual, best businesses during the kingdom use accounting info to make higher company judgements. New adventure Accounting video clips convey accounting ideas to lifestyles inside of corporations similar to demanding Rock Cafe. confirmed studying beneficial properties emphasize the relevance of what you are studying, assist you refine your accounting abilities, and help you in studying tips to successfully study accounting info. Reorganized, streamlined chapters aid construct a powerful, functional context round the strategies of accounting. to maximise every one minute of analysis and assist you successfully entire homework, the hot CengageNOW on-line studying process presents interactive instruments and a personalised studying direction that focuses merely at the accounting strategies and ideas you continue to have to grasp for enterprise luck.
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Additional info for Accounting: Concepts and Applications , Tenth Edition
Sample text
1193 . . . 1194 . . . 1196 . . . 1199 . . . 1201 . . . 1203 . . . 1204 Accounting for Tomorrow . . . . . . . . . . . . . . . . . . . . 1206 End-of-Chapter Materials . . . . . . . . . . . . . . . . . . . . . 1207 APPE N DICES A WAL-MART 2006 ANNUAL REPORT . . . . . . . . . . . . A-1 B GLOSSARY . . . . . . . . . . . . . . . . . . . . . . B-1 C CHECK FIGURES . . . . . . . . . . . . . . . . . . .
1098 22 CAPITAL INVESTMENT DECISIONS . . . . . . . . . . . 1118 Conceptual Basis of Capital Budgeting . . . . . . . . . . . . . . . . 1121 Importance of Capital Investment Decisions in Planning . Uses of Capital Budgeting: Screening and Ranking. . . The Time Value of Money . . . . . . . . . . . . . Discounting Cash Flows . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. If the employee were to buy the option from the company, just like any other outside investor, the employee would have to pay $25,000. Therefore, giving the option to the employee is just like paying him or her $25,000 cash. The $25,000 value of the option should be added to compensation cost. The option doesn’t cost the company a thing. In fact, the option merely increases the probability that the employee will invest $200,000 in the company in the future. The option doesn’t add a penny to compensation cost.