Assets

Question: assets???? what is the best asset (features of the body and personality) in a guy?

Answer: SMILE EMPATHY RESPONSIBILITY CLEAN FINGERNAILS THOUGHTFUL TIGHT BUTT RELAXED WEARS GLASSES OPTIMISTIC

Question: What are liquid assets and how many different types are there? What types of assets are considered liquid assets? What characteristics must they have? Is liquidity a strictly black or white concept or is it somewhat gray? 1)Cash=liquid asset? 2)Checks=liquid assets? 3)Savings, checking accounts = liquid assets?

Answer: liquidity means how fast you can transfer your asset into cash. which makes cash the most liquid asset (cause it is cash already). then come cash equivalents (like checks) and stocks, bonds, options etc. Assets like inventory, buildings, plants, land are less liquid. so it is very gray concept as you see.

Question: What capital assets should be migrated to our new accounting system? We are changing accounting systems and we have a lot of fixed assets some of which have been fully depreciated in years prior. With our new system I would have to enter the fixed asset information in manually. I would like to know if I need to enter all of the fixed asset entries, or only those that have not been fully depreciated. Any information would be appreciated.

Answer: If you are still in possession of the asset then it stays on the books even if it is fully depreciated. Your books should reflect what you own. Also, the information is used on property tax filings. In theory, assets should be monitored and removed from books when disposed, but in my experience most companies (especially small ones) aren't very good at this.

Question: What happens to assets not in a living trust? I have a living trust where my mother and sisters are successor who would eventually inherit all of my assets. I also have a prenuptial with my wife. I have no kids. So when I die..... 1. What happens to the assets that is not in the trust? Since I have a prenuptial, my wife doesn't have access to it right? Would those assets then be left to claim/fight about in court?

Answer: The prenup is only if you get divorced. Your will should either spell out who gets what *or* have a provision that says your assets that aren't in the trust pour over to it.

Question: What are capital assets? How are the gains and losses from the disposition of capital assets taxed? Why are capital assets treated differently from ordinary assets? Is this treatment beneficial or not? Explain the netting process for capital gains. On what form are these transactions reported in the tax return? Are there any carry forward or carry back provisions?

Answer: Do your own homework

Question: What is your analysis of net tangible assets as a fundamental criteria? I am looking at a stock which has the most impressive earnings growth I have seen in a long time. However, it has negative net tangible assets, and it has been constantly growing worse. I don't really understand this, since total assets have been growing over total liabilities, and simultaneously total current assets have been growing over total current liabilities (assets have always been more). What does this mean to me?

Answer: I have no idea--good luck finding the answer

Question: Can anyone explain the difference between working capital and net assets? Just say I am starting a new business, it is the end of my first week and I have to draw up my fixed assets, current assets less liabilities,my working capital would be fixed assets less liabilities what would my net assets be for that week? What exactly is the differnce between working capital and net assets applied to the first week. Am desperate help appreciated. Thanks :-)

Answer: Working capital is current assets less current liabilities (not fixed assets). Net assets is Total Assets minus Total Liabilities., the same as Net Worth. First week or last week, your working capital and net assets are as of a point in time, not over a week.

Question: How do you do the accounting for fixed assets purchased in a foreign currency? When a company purchases fixed assets in a foreign currency, do they value the fixed asset back into the USD amount at the date the asset was acquired or what? The asset is being carried on the foreign subsidiary's books at the amount in Japanese yen. I'm a little confused about this. Can someone provide details, or provide a source where I can find good information on this topic? Thanks.

Answer: You just translate the Yen price to USD cost at time of acquisition and it stays at that cost thereafter. You don't revalue foreign currency non-monetary assets. However you still follow the rest of the standards, like perform the impairment test, etc

Question: How to protect my assets from a deficiency judgement? Once a deficiency judgement is issued, what measures will the lender go to in order to determine my assets? What do I need to do to effectively "hide'" MY ASSETS?

Answer: If you have assets, why wouldn't you just pay your bills? I don't understand this reasoning. Someone was kind enough to lend you the money when you needed it, yet you will work and research to stiff them on it rather than pay them back with a thank you?

Question: Does putting assets in a Revocable Living Trust allow a Senior to qualify for Medicare? This is for a senior who wants to leave her assets to her grandaughter but she won't have anything left to leave if she continues to have to pay all her medical expenses. She is in her 80s.

Answer: If you mean Medicaid, I believe the "revocable" part of this trust structure will disallow its exclusion from her estate - meaning she will have to include the amount of the trust in determining whether or not she qualifies for Medicaid. In addition, there is a 3-year look back period, so if she makes any estate transfers today, she will need to wait 3 years before applying for Medicaid for those assets to be excluded.

Question: What is the tax treatment for liquid corporate assets upon the end/retirement of a business? The business is a CCPC (Canadian-Controlled Private Corporation) and the owner will be ending the business due to retirement. There are some liquid corporate assets that exist within the corporation. Is the only option to cash out all the assets at once and take a huge tax hit, or may the owner keep the corporation running and take out liquid assets each year to cover living expenses (thus not taking as much of a tax hit)? Any links to information would be much appreciated.

Answer: Have a look at this article on the $750,000 lifetime capital gains tax exemption. This will certainly help you out. http://www.cfib.ca/research/businfo/pdf/…

Question: What percent of your long term assets are in emerging markets? What percent of your long term assets are in emerging markets funds? What percent of your long term assets are in diversified international funds? Do you use any small cap international funds? Are you adding any to those categories right now?

Answer: 0, 0, 0, and no.

Question: What is the difference between short and long term assets in a business plan? In reviewing a business plan; what is the difference between long-term and short-term assets as it relates to start-up costs. As an example: Counters, Refrigerators (Long-Term assets) - However, Lighting and Tables (Short-term assets). What is the difference?

Answer: Ryan, Technically according to accounting principles, short term assets are those that can be converted to cash quickly without any loss or penalty. Generally these are money market funds, t-bills, checking balances etc. All of the assets you describe in your question fall under the category of furniture and fixtures and are considered capital assets (or long term) on the business' balance sheet. I hope this helps.

Question: Can real human assets be successfully transferred from one person to another? Can assets that are real really be transferred from person to person like commodities? Would the recipient in the exchange get something that is real from the transaction? Does the notion not remind you of the theory of inheritance of acquired characteristics that at one time was advocated by Lamarck? In other words, can someone who has worked hard to learn a discipline or a skill have the product of this effort handed over to someone else who just passively acquires it? Does it make sense?

Answer: I would personally agree that I should teach somebody my skills ,to be much easyer for him and not so hard as it was for me. but if that person could realy learn what I want to teach him.

Question: How do we transfer (Accounting) fixed assets and inventory from one corporation to a new corporation? I am closing one corp to open 3 new corporations and need to transfer all the assets to one company. We plan to borrow against the assets/inventory to raise capital for the company.

Answer: You definitely should talk to a CPA. Corporations cannot have tax-free dissolutions so what you are describing is a taxable event. Whether it is a taxable gain depends on your basis and the current fair market value of the assets. If it is a related corporation and the assets are worth less than their adjusted basis, you might not be able to take the loss at this time. If you are planning to borrow against the assets, you will need a clean paper trail that shows the transfer. You will probably want to do a Bill of Sale to document it. Any lender will do a UCC search to see if there are any liens on the assets. If liens are on the assets, they will need to be cleared before you transfer the assets. Your Bill of Sale will typically say that the assets are being transferred free and clear of all liens and encumbrances.

Question: How are coins assets on the federal reserves balance sheet? I read on the internet they are listed as assets and cash is listed as a liability. Looking for some insight on this. Thank you.

Answer: Yes, that is correct. You can see it for yourself on the Federal Reserve Balance Sheet: http://www.federalreserve.gov/releases/h… The difference is due to how the money is created and enters circulation. As the monetary authority, the Federal Reserve can create money out of thin air. But the law says that all the money that is created must be collateralized, i.e. backed by something. This is typically accomplished by buying T-Bills on the open market. So if it wants to create $1B, it buys $1B in T-Bills from the public with 'thin air' money. That $1B in T-Bills then becomes a collateral asset for that $1B in circulation. The idea, more or less, is that if someone wanted to redeem their dollars, they could exchange them for T-Bills owned by the Fed. So how about coins? Same sort of thing. When the Fed needs coins to service banks, they buy them at face value from the Bureau of engraving with 'thin air' money. So $100 is created and goes to the BOE, and the Fed gets the $100 in coins as collateral assets. Of course, those coins eventually end up in banks who redeem their dollars for coins. Then you have the opposite transaction. When the bank redeems $100 in cash for coin,the bank gets $100 in coin. And that $100 in cash the Fed received? Officially it vanished back into thin air where it came. Strange stuff this economics.

Question: With the Fed dumping assets off its balance sheet in a reverse repo agreement, what does this do to economy? I hear that the Fed is entering in a reverse repo agreement with banks by selling assets to banks and agreeing to buy back in the future at cost plus interest. What exactly does this do to the economy. I know that it drains money from the economy, but what does this do toward inflation among other things? I just want to know the ramification of this "draining the pool" approach.

Answer: In simple terms, the Federal Reserve uses repurchase agreements (repos and reverse repos) to control the supply of money in the U.S. banking system and thereby control interest rates. The Federal Reserve sets a "target rate" and buys and sells U.S. Treasury securities, U.S. agency securities, and some federally backed mortage securities in order to get the market to hit that "target rate." (It is not necessarily trading directly with banks per se) When they buy these securities, (i.e. enter into a repurchase agreement), they add cash to the market. When they are repurchased by a dealer in the open market, cash it taken back out of the money system by the Federal Reserve and the repurchase agreement has been fulfilled. (adding money into the market decreases interest rates and taking money back out increases interest rates....reflecting the law of supply and demand) This helps the Fed to get the fluctuating market to hit the Fed's target rate. A so-called "reverse repurchase agreement" is in essence the same operation, just referring to it from the standpoint of the dealer repurchasing the securities from the Federal Reserve. Either way, when the Federal Reserve buys securities and adds money to the banking system, interest rates are lowered. When the securities are repurchased (or rather...the Fed sells the securities), money is taken out of the system, and this can potentially make interest rates higher, at least when the economy is not in recession. Sometimes the reason the Fed opts to sell of securities through so called "reverse repurchase agreements," as it is in this instance, is that they are trying to add some value to the dollar. When the Federal Reserve constantly uses open market operations (i.e. buys lots and lots of securities) to add to the pool of money in the market, it can make the dollar relatively weaker to other foreign currency. To reverse this effect and prevent "deflation" of prices in the economy (the opposite of inflation....both are potentially bad by the way...), the Fed will "drain the pool" or sell off some of its securities and take money out of the banking system. They can do this now without significantly increasing interest rates since the economy is in a recession. Ultimately, this "draining the pool" approach is to increase the value of the dollar and prevent deflation of prices in the economy. Is this all good policy? Some argue no, saying the Federal Reserve should be abolished and we should return to the gold standard, where, in simple terms, the money supply is determined by the gold supply. This debate still continues, with more economists in support of a central bank (i.e. the Federal Reserve) Hope this helps. Monetary economics is not always an easy subject to understand. I would highly recommend taking a Money and Banking Economics course after an intro to econ course in order to better grasp Federal Reserve operations.

Question: How to determine which assets are liquidated the quickest? like intangible assets, property, short term investments, and long term debt. wat about accounts receivable? Which are liquidated the quickest? Is there a way to know?

Answer: Long term debt isn't an asset (perhaps you meant long-term investments). But anyways, the liquidity of assets is in this order: Cash Accounts Receivable Short-term investments Long-term investments Property Intangible assets

Question: What happens to marital assets when a man gets incarcerated while still legally married but seperated? Say the couple is legally married but were seperated from each other because of difference and the women was seeing another man... The husband gets incarcerated so then what happens to all the marrital assets since the husband has no say since he is in prison.

Answer: She gets to do with it as she pleases.

Question: How will leasing as opposed to buying capital assets improve or weaken a firms financial statements? How will leasing as opposed to buying capital assets improve or weaken a firms financial statements? Is there a recommended preference for particular industries in reference to the lease or buy decision? Where can I look to find a leased assets lease amount on financial statements?

Answer: Leasing, or Buying, both has its own advantages. In both the cases, you make use of equipment. Leasing, is preferred when you don't have a capital budget. Buying, is preferred when buying is more economical. Leasing can be done from the revenue budget. Leasing, effect Profit directly.