financial accounting ch02

$ , 0 ! . &0)>G=H?MABLL>GMLLAHNE=;>:;E>MHF>>MMA>?HEEHPBG@H;C>L

JB>3;@F:75A?B3D;EA@A8R@3@5;3>355AG@F;@9FAF:7B3;@F;@9A83BADFD3;F

+@67DEF3@6F:7D73EA@EI:KR@3@5;3>355AG@F;@9;@8AD?3F;A@6A7E@AF@776FA477J35F 7R@7F:7F7D?O?3F7D;3>P3@667E5D;47;FE8G@63?7@F3>DA>7;@R@3@5;3>355AG@F;@9 7R@7F:7F7D?O?;EEF3F7?7@FP3@66;Q7D7@F;3F747FI77@F:7FIAFKB7EA8?;EEF3F7?7@FE7D

DADE3@68D3G6

!AF9F;A9D.L9L=E=FLK/@=+GJLJ9ALG>9F*J?9FAR9LAGF

(G7EF;A@ @ :3BF7D ?7@F;A@ I3E ?367 F:3F V@3@5;3> 355AG@F;@9 ;E EA?7I:3F 3@3>A9AGE FA F:7 B3;@F;@9 A8 3 9;3@F 5A?B>7J BADFD3;F 8@ ,8>5- I7*7,2*5 *,,8>7=270 98:MAMMI;BMERAHRE>

2013 Flat World Knowledge, Inc. All rights reserved. Created exclusively for [email protected]

D7BD7E7@F3F;A@3>83;F:8G>@7EE

K>:LHG:;E>:@K>>F>GM;>MP>>GK>IHKM>=BG?HKF:MBHG:G=MA>>O>GMHK;:E:GBMINKIHKMLMHK>IK>L>GMMABLM>KFK>?>KLMHMA>;:LBL?HK:IIKHIKB:M>=>K

"BG:GF>GMLBG:K>IHKML:G=K>E:M>=O>K;:E=BLLMA:MRFHG>M:KRBG?HKF:MBHG=>LHI>K:MBHGL`G:GL>GMBG@BML`G:G:EMA:G=?NMNK>IKHLI> 9 HGJLJ9ALV9K EA?@L @9N= :==F ;J=9L=< :Q -=E:J9F

?;EEF3F7?7@FE

!KKHKLHK?K:N=LMA:MK>IHKM>=`G:GK?KHFMA>:IIKH:JNBK>=;R:GHbIHKMBG@LN1/#>G>K:EER=

0A>F:@GBMN=>H?:GHFBLLBHGHKFBLLM:M>F>GMH?:MA:MMA>CN=@F>GMH?:K>:LHG:;E>I>KLHGK>ERBG@HGMA>BG?HKF:MBHGPHNE=A:O>;>>G=HKBGaN>G=;RMA:MHFBLLBHGHKFBLLM:M>F>GM

* ) * / % + ( ) "

'G7EF;A@

"HK MA> R>:K >G=BG@ &:GN:KR -3>?3DF K>IHKM>= A:OBG@ F:=> L:E>L MH BML KL G>M H? K>MNKGL:G= :EEHP:GL H? &:F>L "HKK>LM BL LMN=RBG@ MA> :O:BE:;E> BG?HKF:MBHG BG HK=>K MH =>PA>MA>K MH ;NR HPG>KLABI LA:K>L H?-3>?3DF HG MA> *>P 5HKD /MH GM IKB 3AB?HEEHPBG@LM:M>F>GMLBLMKN>:;HNMMA>`@NK>K>IHKM>=:LMA>ML:E>L

: -3>?3DFF:=>G>ML:E>L=NKBG@MA>L>MP>EO>FHGMALH?>Q:BL:GNF;>KA:L;>>GKHNG=>=MHMA>G>:K>LMFBEEBHG< *>ML:E>LP>K>IKH;:;ERGHM?HKMA>R>:K;NMMA:M`@NK>BL>GHN@AMH;>:?:BK

IK>L>GM:MBHGHG>MA:M"HKK>LMERHGBGF:DBG@ABL=>ML:E>L`@NK>A:=GHM;>>G?3DFNE :=MA>IHKMMA>:FHNGM

@EI7D

0A> K BL L P>K> IKH;:;ER GHM ?HK MA> R>:K ;NM MA:M `@NK> BL>GHN@AMH;>:?:BKIK>L>GM:MBHGHG>MA:M"HKK>LMERHGBGF:DBG@ABL=>3@3F;A@

ER :@K>> H? >Q:LL BL H?M>G BFIHLLB;E> MH :O> :G= BL GHM K>JNBK>= PA>G :LL>LLBG@ : LM NEMBF:M>ER P:GML MH >LMBF:M> LMHG= I:RF>GML *>M L:E>L P>K> :EFHLM KM:BGER GHM :L K>IHKM>= ;NM :GR =B_>K>G ;>MP>>G MABL GNF;>K :G= MA> :QI>= MH ;>E:K@>>GHN@AMHA:O>:GBFI:=>F:=>

(9L=JA9D(AKKL9L=E=FLK

(G7EF;A@ +:;E ;E 3 EGDBD;E;@9 BAEE;4>K E:A5=;@9 D7H7>3F;A@ ;@3@5;3> 355AG@F;@9 ;@8AD?3F;A@ :3E G@;H7DE3>>K 477@ 4D3@676 3E 7J:;4;F;@9 D;9;6 7J35F@7EE @ 835F 355AG@F3@FE 3D7 A8F7@ D787DD76 FA 3E R473@5AG@F7DES 4753GE7 A8 F:7;D B7D57;H76 @776 FA 5AG@F 7H7DK 473@ ;@ F:7 4AI> FA 3DD;H7 3F A4E7EE;H7>K 355GD3F7@G?47DE 7D7 F:AG9: F:7 3EE7DF;A@ ;E ?367 F:3F 355AG@F;@9 ;@8AD?3F;A@ ;E @AF 3 BD75;E7 B;5FGD7 4GF?7D7>K 3 83;D D7BD7E7@F3F;A@ A8 3@ AD93@;L3F;A@QE V@3@5;3> :73>F: 3@6 8GFGD7 BDAEB75FE 8@ ,8;;.,= 8;.A*,=2

7DDAD

GNGBGM>GMBHG:EFBLLM:M>F>GMH?`G:GGMBHG:EFBLLM:M>F>GMH?`G:GMLMA>?MHK?K:N=NE>GM`G:GIHKMBG@

EAKKL9L=E=FL AK 9F -::7: E9

* ) * / % + ( ) "

'G7EF;A@

"HK MA> R>:K >G=BG@ &:GN:KR -3>?3DF K>IHKM>= >:KGBG@ G>M BG H? 3AB?HEEHPBG@LM:M>F>GMLBLGHMMKN>

: *>MBGBLIKH;:;ERGHM;NMBMBLGHMF:M>KB:EER=B_>K>GMMA:GMA>K>IHKM>=`@NK>; 0H:B=BGO>LMHKL:MBGEHP>KMA:G;NMLAHNE=GHM;>:GRAB@A>K< >KLLAHNE=?>>EF:DBG@=>=HGMABL`@NK>= 3BMALH?LN=>M>KFBGBG@:G>Q:MBGBLBFIHLLB;E>

@EI7D

0A> K BL LMHKL :M BG EHP>K MA:G ;NMLAHNE=GHM;>:GRAB@A>K

JB>3@3F;A@

*>M BG K>a>G>LL H? : :KGBG@L MA:M : =>K 3BMA LH F:GR QMK:GL:ER :L :K> BFIHLLB;E> HFI:GR Hb>= MH A:O> LNbGM >OB=>GMH BG=B MA:M G>M BG KB:E FBLLM:M>F>GML KO:MBO> PABER MH K>=N K>IHKM>= BG `@NK>L 0A>K>?HK> :M BG BL FHK> EBD>ER MH ;> LEB@AMER AB@A>KMA:GMA>K>IHKM>=`@NK>K:MA>KMA:GEHP>K

! / * ! - /

"BG:G >Q:KL ;> LN:EER K>JNBK>= ;R =>KL %GLM>:= K>IHKM>= := MHIKHOB=> : EBD>G>LL H? :G HK@:GBS:MBHG :G= BML HI>K:MBHGLX: MRI> H? IHKMK:BM 0H :O> MABL @H:E `G:GIHKM>= ;:E:GL :G= HMA>K =:M: F>GML FBLLM:M>F>GM BL BG:GMBHG:EER ?K:N= ):M>KB:EBMRK>?>KL MH MA> IHBGM :M PAB LBS> HK MA> G:MNK> H? LNF>GML PHNE= : BG MA> => ;R :G BG=BOB=N:E NLBG@ MA:M BG?HKF:MBHG %? :EE F:M>KB:E FBLLM:M>F>GML >EBFBG:M>= MA> BG?HKF:MBHG BL K>= MH ;> IK>L>GM>= ?:BKER 0A:M EBD>G>LL G ;> NL>= ;R BGM>K>LM>= I:KMB>L MH F:D>K>==>

L@= H=FFQ #GO=N=J E9FQ G> L@= GL@=J _?MJ=K J=HGJL=< :Q 9F GJ?9FAR9LAGF L=F FGL =N=F 9 HGKKA:ADALQ AF _F9F;A9D 9;;GMFL

AF?V;9F := KMEE=< MH AF 9 KAF?D= OGJ L@= =N=FLK =F;GMFL=J=< =N=JQ GJLMF9L=DQ FG L=;@FAIM= =PAKLK LG J=HGJL MF;=J

L9AF=N=FLKAFHJ=;AK=L=JEK

2@=F _JKL AFLJGGJ EGFL@K GJ =N=F Q=9JK #=J= 9J= BMKL 9 >=O =P9EHD=K G> L@= CAF MF;=JL9AFLQ L@9L NAJLM9DDQ=N=JQ:MKAF=KK9F9;=KAF;J=9LAF?_F9F;A9DKL9L=E=FLK

< :MKAF=KKAKL@=KM:B=;LG>9D9OKMAL+=J@9HK9;MKLGE=J@9K_D=L@=;GEH9FQXKHJG

K OADD := ?J97=*7= 478@ @12,1 6.=18- 8/ ;.98;=270 2< *99;89;2*=. AI 6A7E 3 675;E;A@ ?3=7D I:A 3@3>KL7EF:3FD7BADF76;@8AD?3F;A@=@AII:3F9G;67>;@7EI7D7GE76;@;FEBD7B3D3F;A@

FKO=J /@= =PAKL=F;= G> _F9F;A9D 9;;GMFLAF? KL9F

+)7@7D3>>K557BF7655AG@F;@9&D;@5;B>7E+)&

K>=L>MH?:=:G=?HEEHP>=BGMA>1GBM>=/M:M>LBMBL:M>=:G=NI=:M>=;RMA>"BG:G$!-.*L@=JK:=DA=N=L@9L0."+AK9KMH=JAGJKQKL=E9FKG:MBHG:E "BG:GIHKMBG@ /M:G=:K=L L:RBG@ MA> FHG>R ;R LBFIEB?RBG@ :G= LM:G=:K=BSBG@ BML :K:M>L\

< [HFI:GB>L EBD> 3>>36AD @7D9K A : LF:EE >GO>K LLHNMLB=> MA> 1GBM>= /M:M>L HIIHL>L FHOBG@ MH MA> BGM>KG:MBHG:E LM:G=:K=L Y3> =B=GZM CHBG MA> F>MKBF PA>G >O>KR;H=R >EL> =B=Z L:RL 3 G=>KLHG BLAHI 3>>36ADNE ? `G:G @HE= LM:G=:K= :G= PAR PHNE= P> P:GM MH EHP>K HNK LM:G=:K=L CNLM MH F:D>MA>K>LMH?MA>PHKE=A:IIR\

< [(:K@>K L ;B@ :KL ?:OHK MA> LPBMR G= MA:M@EH;:E NGBMR PHNE= L:O> L FHG>R ;R >IBG@ :G= F:D> BM >:LB>K MH K:BL>PHKE=\

< [&:F>L :KEHP ? `G:G7D93@ @5 :G= :G HIIHG>GM H? %"./>LMBF:M>LMA>GN>L\78

L L@= LAE= G> L@AK OJALAF? 0. "+ ;GFLAFM=K LG := L@= J=IMAJ=< KQKL=E >GJ EGKL G> L@= _F9F;A9D J=

HGJLAF? >GMF< AF L@= 0FAL=< .L9L=K 9DL@GM?@ 9 E9FGJE =O Q=9JK AK IMAL= HGKKA:D= =;9MK= G> L@= ;MJJ=FL KALM9LAGF 9F< L@= MF;=JL9AFLQ 9K LG @GO D=?9D J=IMAJ=

E=FLK OADD =N=FLM9DDQ ;@9F?= L@AK L=PL:GGC AK HJAE9JADQ 9 HJ=K=FL9LAGF G> 0. "+ !GJ L@= EGKLH9JL 0. "+ 9F< $!-. 9J= :9K=< GF L@= K9E= 9;;GMFLAF? HJAF;AHD=K #GO=N=J N9JQAF? AFL=JHJ=L9

LAGFK G> L@GK= HJAF;AHD=K @9N= J=KMDL=< AF ,=287 8/ /8;6*5 *,,8>7=270

$F>GJE9LAGF 9:GML L@= J=KMDLAF? Ga;A9D HJGFGMF;=E=FLK 9F< L@= KL9F 9;;GMFLAF? KL9F

?J9FLAF? ;J= L@9L MF;=JL9AFLQ L@=Q OGMD=J GHLAGFK GFK=IM=FLDQ A> 9;

;GMFLAF? KL9FGJ FGF?GN=JFE=FL9D =FLALA=K KM;@ 9K :MKAF=KK=K 9F< HJAN9L= FGL>GJ

HJG_L GJ?9FAR9LAGFK !. AK 9F AFGJ =P9EHD= L@9L 9J= FGL ;GN=J=< :Q 0. "+ GJ H=J@9HKO=9CF=KK=K AF =9JDA=J JMD=K KL9JL LG :=;GE= =NA KM;@ ;GF;=JFK ?JGO LG := K=JAGMK !. KL=HK AFLG KLML=J 9 H=JAG< G> KLM L@= ;@9F;= L@9L KGE= H=J@9HK E9FQ G> L@=K= :9D9F;=K OGMD< FGL := ;GDD=;L= L@= ;MJJ=FL =;GFGEA; !. >=DL L@9LEGJ= AF>GJE9LAGF O9K F==JGE GJ?9FAR9LAGFK LG AF>GJE L@=K= J=;=AN9:D=K /@AK LQH= G> =NGDMLAGF L9C=K HD9;= >J=IM=FLDQ AF L@= D9F?M9?=CFGOF 9K _F9F;A9D 9;;GMFLAF? 2@=L@=J 0. "+ GJ $!-. _F9F;A9D 9;;GMFLAF? JMD=K EMKL := MH

! / * ! - /

*H E:G@N:@> G:;E> KFBGHEH@R :G= KNE>L M IK>L>GM1/ #, IE:RL MABL KHE> BG MA> 1GBM>= /M:M>L 0A> :O:BE:;BEBMR H? MA>L> :NMAHKBM:MBO> @NB=>EBG>L A:L L>KO>= :GMK:E KHE> BG MA> @KHPMA H? MA> 1/ > >G= H? MA> #K>:M >IK>LLBHG :G= 3HKE= 3:K %% 0A>L>NGB?HKF :LMHKL :G= =BMHKL MH :LL>LL MA> IHLLB;E> KBLDL :G= K>P:K=L MA>R ?: 1/#, BL OHEOBG@ :L :D ;>MM>K F>MAH=L H? IKHOB=BG@ `G:GO>KLL PHKE= 0A> F:BG :NMAHKBMR ?HK MA> =>O>EHIF>GM H? 1/ #, EB>L PBMA MA> "BG:G= MH ;> LMN=B>= LH MA:MG>>=>= L F:=> BG HbL BG MA> 1GBM>= /M:M>L BL R>M MH ;> =>M>KFBG>= ;NM : L>M H?:KL

*3>=;@9I;F:3@@67B7@67@FG6;FAD34AGF@F7D@3F;A@3>;@3@5;3>(7BADF;@9)F3@63D6E

.H;>KM 2:EE>CH BL : I:KMG>K BG MA> :LLNK:G :N=BM IK: IN;EB< :K PBMA &I BG :G= A:L LI>GM `O> R>:KL PHKDBG@ BG !NKHI> MPH BG,:KBL :G= MAK>> BG FLM>K=:F > H? ABL MBF> BG !NKHI> A> A:L >QM>GLBO> IK:KB>G =>:EBG@PBMA %GM>KG:MBHG:E "BG:GIHKMBG@ /M:G=:K=L %"./ :G= :ER A>EIL ABL 1/ GML NG=>KLM:G= MA> LB@GB`K>GL ;>MP>>G 1/ : LLHLLBHG:ELBG "BG:G :G= K H? MA> F>KB H? >KMB`>= ,N;EB< K MA> I:LM `?MR R>:KL HK LH MA> : 1GBM>= /M:M>L A:L =>O>EHI>= : O>KRA>GLBO> L>M H? HbEBG>L K>?>KK>= MH ER :L 1/ #, .>GMER : LMKHG@ INLA A:L =>O>EHI>= MH FHO> :P:R ?KHF MAHL> IKBGL :G= :=HIM MA> IKHGHNGF>GML H? MA> %GM>KG:MBHG:E GHP MABGD :;HNM:;:G=HGBG@BMBG?:OHKH?%"./:LRLM>FMA:MBLGHMG>LL:KBERP>EENG=>KLMHH=BGMA>1GBM>=/M:M>L

Rob Vallejo: !O>GML MH BEENLMK:M> AHP BGM>KK>E:M>= MA> PHKE=ZL >L K>:EER :K> 0A>K>?HK> BM F:D>L GL> MA:M :EE L :KHNG= MA> PHKE= LAHNE= K>IHKM MA>BK `G:GM H? : NG=>KLM:G=BG@ :G= NL>?NEG>LL H? HNK LM:G=:K=L ;>RHG= HNK ;HK=>KL GHMA>K :K@NF>GM BG ?:OHK H? MA> :=HIMBHG H? %"./ BL MA> QBMR H? 1/ #, %M BL : O>KR KNE>L;:L>= L>M H? LM:G=:K=L MA:M A:L >OHEO>= HO>KF:GR =>L MH :==K>LL MA> >O>KLL :MBG@ : F:S> H? LM:G=:K=L MA:M BL =Bb %"./ BL FHK> IKBGL;:L>= :EEHPBG@ MA> IK>I:K>KL H? `G:G CN=@F>GM BG :IIERBG@ @>G>K:E KNE>L MH : PB=> O:KB>MR H? LBMN:MBHGL (:LMER 1/ LM:G=:K= L>MM>KL A:O> ;> FHK> BGOHEO>= BGMA> >OHENMBHG H? %"./ "/ A:L ;>>G PHKDBG@ PBMA MA> %/ BG F:GR BGLM:GL MH K@> 1/ #, :G= %"./>O>GB??HKF:E:=HIMBHGH?%"./G>O>KH=/M:M>L

Question: .H; :M D>R LIHML MAKHN@AHNM MABL M>QM;HHD RHN A:O> :@K>>= MH >QIE:BG MA> BFI: MH %"./ PBEE A:O> HG `G:GIHKMBG@ BG MA> 1GBM>= /M:M>L +;OBHNLER MA> ?NMNK> BL :EP:RL =BbO>K PA:M BL RHNK ;>LM @N>LL :L MH PA>G %"./ PBEE LM:KM MH ;> NL>= BG MA> `G:GF>GML BLLN>= ;R 1/ L M : ;:LB< E>O>E :L BL :IIKHIKB:M> BG :G BGMKH=N=;R:?KHF1/#,MH%"./

RV: 0A> FHO> MH %"./ BL ;>BG@ =KBO>G ;R MA> />L :G= !Q HFFBLLBHG /! PAB@:E K>LIHGLB;BEBMR ?HK FN `G:GIHKMBG@ BG MA> 1GBM>= /M:M>L %G MA> /! IN;EBLA>= : KH:= F:IMA:M = ?HK MA> E:K@>LM 1/ IN;EB= L MH IN;EBLA MA>BK :GGN:E K>LNEML ?HK MA> R>:K >G=BG@ >F;>K BG : /! =>= MA:M %"./ PHNE= GHM ;> K>JNBK>= H? 1/ IN;EB< L IKBHK MH :G= >O>G MA>G HGER :?M>K :==BMBHG:E LMN=R `G:E =>QI>= ?KHF MA> /! K>E:MBO>ER LHHG ;NM MA> FHF>GMNF E>:=BG@ MH :G BG>OBM:;E> LPBM>FL MH ;> @:BGBG@ MK:G>K:E :GR FHO> MH %"./ PBEE GHMA:O> : LN;LM:GMB:E BFI: `G:GBG@ K>IHKM>= ;R FHLM 1/ L $HP>O>K ;> H? MA> F:GR LN;ME> =B_>K>GL ;>MP>>G %"./ :G= 1/ #, IK>I:K>KL H? `G:G : EHMH?PHKDMH=HMHMK:GLBMBHGMA>K>IHKMBG@IKHI>KERLBLMA>F:GRMBF>LMA>=>OBEBLBGMA>=>M:BEL

&*(-*)%+")%$#!()!$%-$%((*%#!%%)%$)%+*$%($0*%$


3EE7FE

,KH;:;E>?NMNK>>G>`MLHPG>=HK=;R:GHK@:GBS:MBHG

>;34;>;F;7E

,KH;:;E>?NMNK>L:`ML:KBLBG@?KHFIK>L>GMH;EB@:MBHGLMA>=>;MLH?:GHK@:GBS:MBHG

D7H7@G7E

)>:LNK>LH?MA>BG:L>LBGHKBGaHPLH?G>M:LL>ML:LL>MLFBGNLEB:;BEBMB>LK>LNEMBG@?KHFMA>L:E>H?@HH=L:G=L>KOBL

7JB7@E7E

)>:LNK>LH?=>:L>LBGHKHNMaHPLH?G>M:LL>ML:LL>MLFBGNLEB:;BEBMB>LBG=BG

@>G>K:MBHGH?K>O>GN>L

Note: 0A> KHE> IE:R>= BG MA> 1/ >K K/HF> H? MA>L> HK@:GBS:MBHGL A:O> @KHPG MH :G >GHKFHNL LBS> :L H? &NER AMMIPPPIPER BG=BOB=N:EL PHKDBG@ BGHO>K L NKBG@ MA> `KF >:KG>= BG >QLL H? ;BEEBHG BG K>O>GN>L ?KHF KL :L : K>LNEMH?MA>L>KOBLMA:MBMK>G=>K>=?HKMA>F

!*0- .. )/$'/ -(. )*0)/ - $)!$))$'*0)/$)"

" ( $ $ % * , )

MMA>>G=H?MABLL>GMLLAHNE=;>:;E>MHF>>MMA>?HEEHPBG@H;C>L

7R@7O3EE7FP3@6BDAH;677J3?B>7E8AG@6;@R@3@5;3>D7BADF;@9

7R@7O>;34;>;FKP3@6BDAH;677J3?B>7E8AG@6;@R@3@5;3>D7BADF;@9 7R@7OD7H7@G7P3@6BDAH;677J3?B>7E8AG@6;@R@3@5;3>D7BADF;@9 7R@7O7JB7@E7P3@6BDAH;677J3?B>7E8AG@6;@R@3@5;3>D7BADF;@9

KK=LK'A9:ADALA=K-=N=FM=K9F 355AG@F;@9 3@6 ;FE G@67D>K;@9 EF3@63D6E ;E 3IADF:I:;>7 7@673HAD 7EB75;3>>K ;8 3 B7DEA@ :AB7E FA 475A?7 EG557EE8G> 3F ?3=;@9 675;E;A@E 34AGF 4GE;@7EE7E AD AF:7D AD93@;L3F;A@E '1.;. 5- =1. 38>;7.B =8 0*27 [email protected]. 8/ I7*7,2*5 *,,8>7=270 *7-2=GJ 9F =PHDGJ9LAGF AFLG _F9F;A9D 9;;GMFLAF? GFK=IM=FLDQ >GMJ >MF

;@H7@FADK

GM:LL>M;HN@AMHKF:GN?:=?HKMA>INKIHL>H?L>EEBG@BGHK=>KMH@>G>K:M>K>O>GN>

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

NBE=BG@L:G=BFIKHO>F>GML ;BEEBHG

0K:=>G:F>L:G=HMA>KBGM:G@B;E>:LL>ML ;BEEBHG

"NKGBMNK>`QMNK>L:G=>JNBIF>GM ;BEEBHG

* ) * / % + ( ) "

'G7EF;A@

EB .H:GHD> A:L =>= MH LM:KM :G %GM>KG>M ;NLBG>LL MH IKHOB=> >QI>KM `G:G> /A> ABK>L ):MM /AHP:EM>K : K>GHPG>= >QI>KM BG L>MMBG@ NI BGO>LMF>GMLMK:M>@B>L /A> K>GML : ;NBE=BG@ I:RBG@ ?HK MA> G>QM MPH R>:KL BG :=O:G /A> :ELH ;NRL L>O>K:E E:K@> KL :G= : LF:EE EB;K:KR H? ;HHDL HG BGO>LMBG@ :G= IKHOB=BG@ `G:GMMHA>KG>PK:L:G>FIEHR>>; +PGBG@MA>BGO>LMF>GM;HHDL< ,:RBG@MA>K>GMHGMA>;NBE=BG@?HKMA>LN;L>JN>GMMPHR>:KI>KBH== KL

@EI7D

0A>KBLK:L:G>FIEHR>>

JB>3@3F;A@

G :LL>M BL : ?NMNK> >G>`M MA:M :G HK@:GBS:MBHG HPGL HK KLHG HPG>= HK= :G= MA>K>?HK> BL GHM =>>F>= :G :LL>M ?HK K>IHKMBG@ INKIHL>L K>@:K=E>LL H? AHP LF:KM HK A>EI?NE MA>I>KLHG BL /AHP:EM>K = :IIKHQBF:M>ER R>:KL :@H 0A> ;HHDL MA> ;NBE=BG@ :G= MA> KL :EE A:O> ?NMNK> >G>`M:G=MA>LA:O>HPG>KLABIHK

=>AFALAGFG>L@=/=JEY'A9:ADALQZ

(G7EF;A@ E A8 !3@G3DK "-):; 3>EA D7BADFE AI;@9 ?AD7 F:3@ 4;>>;A@ ;@ >;34;>;F;7E A7E F:;EV9GD7 D7W75F F:7 FAF3> 3?AG@F F:3F F:7 D7BADF;@9 5A?B3@K I;>> 7H7@FG3>>K :3H7 FA B3K FA AGFE;67 B3DF;7E'1*=-8.JGE HJ=K=FL G:DA?9LAGFK :ML >GJ ;GN=J9?= @=J= 9L L@= AFLJG

7EE7@F;3> F7D? FA 47 6;E5GEE76 3F F:;E F;?7PD7H7@G7P;E A@7 F:3F ;@;F;3>>K 3BB73DE FA 47 3 4;F >7EE 5>73D#.*;< D7BADF76 F:3F ;FE EFAD7E 97@7D3F76 D7H7@G7E A8 4;>>;A@ ;@ 3>A@7 .:3F 6A7E F:3F F7>> 3 675;E;A@?3=7D34AGF #.*; .HP> HFI:GR BL : K>LM:NK:GM BG : K>FHM> :K>: H? 0>GG>LL>> 0A> HPG>K ;NRL : LM>:D ?KHF : EHK?HK 0A> ? BL I:B= MH :M P:BMK>LL BL I:B= MH =>EBO>K MA> LM>:D MH : K 0A> K BL = PAB:O>L : MBI ?HK MA> P:BMK>LL H? GN>LAHNE=MA>.HP>HFI:GRK>IHKMBGKB>LH?>O>GML

: ; < =

@EI7D

0A>KBL3@3F;A@

0A> M>KF [K>O>GN>\ K>?>KL MH MA> BG:L> BG G>M :LL>ML ;KHN@AM BGMH :G HK@:GBS:MBHG :L : K>LNEM H? : L:E> 0A>K>BL : EHM H? BGM>K>LMBG@ :G= K>E>O:GM BG?HKF:MBHG A>K> $HP>O>K HGER MA> I:RF>GM F:=> ;R MA> K MH MA>;NLBG>LL BL K>IHKM>= :L K>O>GN> ;> MA:M BL MA> BG:L> BG G>M :LL>ML ;KHN@AM BGMH MA> L:E>

&*(-*)%+")%$#!()!$%-$%((*%#!%%)%$)%+*$%($0*%$


* ) * / % + ( ) "

'G7EF;A@

0A> )LM:NK:GM BG : K>FHM> :K>: H? )HGM:G: 0A> HPG>K ;NRL : LM>:D ?KHF : EHK ?HK +G 0N>L=:R MA> ? BL I:B= MH :M P:BMK>LL BL I:B= MH =>EBO>K MA> LM>:D MH :K 0A> K BL = 0A> K =H>L GHM A:O> :GR FHG>R PBMA ABF :G= M>EEL MA> HPG>KMA:M A> PBEE I:R MA> :FHNGM BG MA> ?HEEHPBG@ P>>D 0A> HPG>K DGHPL MA> K :G= :EEHPL MA> I:RF>GM MH;> =>E:R>= GN> LAHNE= MA> )IHKM HG0N>L=:RPA>GMA>L:E>BLF:=>

: 6>KH; < =

@EI7D

0A>KBL3@3F;A@

0A> M>KF [K>O>GN>\ K>?>KL MH MA> BG:L> BG G>M :LL>ML :L : K>LNEM H? MA> L:E> H? : @HH= HK L>KOB $>K> MA>;NLBG>LL K>BO>= : IKHFBL> MH I:R MA:M BL OB>P>= :L :G :LL>M ;> BM A:L ?NMNK> >G>`M EMAHN@A GH ;NLBG>LL =B= @:BG :G :LL>M : K>BO:;E> :L : K>LNEM H? MA> L:E> .>O>GN>P:L /HF> O>KR LF:EE HK@:GBS:MBHGL NL> FL MA:M HGER K> K>O>GN>L PA>G BO>=;NMMA>R:K>GHMK>IHKMBG@:LH?1/#,

=>AFALAGFG>L@=/=JEY PH=FK=Z

(G7EF;A@ +:3F >73H7E R7JB7@E7S 3E F:7 >3EF A8 F:7 8AGD 7EE7@F;3> 355AG@F;@9 F7D?E ;@FDA6G576 3F F:;E BA;@F#.*;< D7BADF76 4;>>;A@ ;@ FAF3> 7JB7@E7E 6GD;@9 +:;E V9GD7 3BB3D7@F>K ;E ;?BADF3@F ;@8AD?3F;A@ F:3F :7>BE B3;@F 3 BDAB7D BADFD3;F A8 F:7 5A?B3@K 3 BADFD3;F F:3F 53@ 47 GE76 4K 675;E;A@ ?3=7DE'1*=2GJ L@= OGJC H=J>GJE=< =O

* ) * / % + ( ) "

'G7EF;A@

0A> $:MA:P:R HKIHK:MBHG LM:KM>= ;NLBG>LL HG &:GN:KR 5>:K +G> :L : K>LM:NK:GM BG 0HE>=H +ABH NKBG@5>:K +G> MA> :GM : ;NBE=BG@ MH L>KO> :L BML DBMG :G= =BGBG@ KHHF> HI>K:MBHGL P>K> LH LN `G:E =:R H? 5>:K +G> MA> P;NBE=BG@ ?HK MA> K>LM:NK:GM 0A> L MH FHO> HO>K MA> *>P 5>:KZL :R AHEB=:R ?KHF MA> HE= K>GM:E?: G>PER := HG> %G L> >O>GML AHP FNIHKM :L BMLMHM:E>QI>GL>L?HK5>:K+G>

: 6>KH; < =

@EI7D

0A>KBL3@3F;A@

0A> M :LL>ML =>:L>= ;R I>K FHGMA :L : K>LNEM H? K>GMBG@ MA> `KLM LI: 0A> ;>G>`M?KHF MA:M K>GM:E A:L I:LL>= ;> MA> K>LM:NK:GM P:L NL>= :M MA:M MBF> MH @>G>K:M> K>O>GN> 0A:M BL :G >QI>GL> %G G>P ;NBE=BG@ BL :G :LL>M %G : ;NBE=BG@ HG> :LL>M Q= ?HK:GHMA>K ;NBE=BG@ *>M :LL>ML =B= GHM HG> :LL>M P>GM NI :G= HG> P>GM =HPG 0ANL GH >QI>GL> K>LNEM>=0A>>QI>GL>?HK5>:K+G>BLBGK>GM

!GMJ KK=FLA9D/=JEK F;GMFL=J= 355AG@F;@9 >?AEF 3@K 5AH7D397A8355AG@F;@9EF3DFEI;F:F:7E78AGD'1*=2PPBMA'>OBG#NKGL

&*(-*)%+")%$#!()!$%-$%((*%#!%%)%$)%+*$%($0*%$


Question "BG:GFIA:LBL HG MA> BFIHKM:G H? @>G>K:EER := :LL ?M>K G>:KER MAK>> =>L :L :G BGO>LMF>GM :=OBLHKPA:MBLRHNKHIBGBHGH?MA>K>E>O:GH?1/#,

Kevin Burns >?HK> MA> := MH 1/ #, P:L MKNLM>= PHKE=PB=> %GO>LMHKL :KHNG= MA> @EH;> MHHD INM:MBHG ?HK BGM>@KBMR %G MA> L MAHN@A % ?>EM MA:M 1/ #, ;>LHF>PA:M FN==B>= ;> BGO>LMHKL P:GM>= MH =>I>G= MHH A>:OBER HG HG> HK MPH `@NK>L K:MA>K MA:GCN=@BG@ MA> %G MA> E:LM L>O>K:E R>:KL "/ A:L FHO>= ;:LLBG@ :K>K MK:GLI:K>GIHKM>= BG?HKF:MBHG 0A:M H;C> >G:;E>L BGO>LMHKL MH ;>MM>K L>> :G= NG=>KLM:G= MA> HK@:GBS:MBHGLM:G=BG@;>ABG=MAHL>LM:M>F>GML0A:MBLO>KRBFIHKM:GMBGHK=>KMHF:BGM:BGBGO>LMHKG

L ?HK MA> GM LM:M> H? MA> 1/ #, BM BL KM:BGER LNI>KBHK MH MA> F:CHKBMR H? MA> PHKE=ZL LM:G=:K=L 1G?HKMNG:M>ERBMBL@>MMBG@FHK>O>KRR>:KPABK BL JNBM> BGM>K>LMBG@ ;> H? MA> INLA BG K>GM R>:KL MHP:K= %GM>KG:MBHG:E "BG:GIHKMBG@ /M:G=:K=L :L : LBG@E> @EH;:E L>M H? LM:G=:K=L ?HK :EE ;NLBG>LL>L /HF> I>HIE> EHO> MA> B=>: H? MA>L:F> :O>KRHG> +MA>KL A:M> MA> B=>: MA:M %"./ IE: 1/ #, 3A:M BL RHNK?>>EBG@

KB "HK :G BGO>LMHK MA:M BL : O>KR BGM>K>LMBG@ JN>LMBHG #BO>G MA:M P> MKNER :K> : @EH;:E > :PHKE=PB=> LM:G=:K= ;NM HGER B? BM P:L >JN:E MH HK FHK> MK:GLI:K>GM MA:G MA> GM 1/ LM:G=:K=L L :G BGO>LMF>GM :=OBLHK % PHNE= EHO> MH ;> :;E> MH ;NLBG>LL O:EN:MBHGL A>K> :G= BG ABG: ?HK >Q:FIE> LB=>;RLB=>:G=A:O>GMA:M%:FMKNERLMH:IIE>L

Question 3A>G RHN ;>@BG MH LMN=R MA> `G:GIHKM>= ;R : :G:ERSBG@ :L :G BGO>LMF>GMIHLLB;BEBMRPABO>GN>L>QI>GL>L:LL>MLHKEB:;BEBMB>L

KB "HK F> :LL>ML A:O> :EP:RL ;>>G MA> FHLM BFIHKM:GM =>M>KFBG:MBHG BG MA> BGO>LMF>GML MA:M % A:O> G$HP>O>K MA:M BL ;> % A:O> :EP:RL ;>>G LMKB BGO>LMHK 0A>K> :K> F:GR =B_>K>GM LMRE>L H? BGO>LMBG@ 2:EN> BGO>LMHKL EHHD :M MA> O:EN> H? : ML :G= MA>G EHHD ?HK ;:K@:BGL ;:L>= HG GM LMHM IKBL %G LMHKL EHHD :M >:KGBG@L FHF>GMNF :G= =HGZM MHH FNM O:EN>L 0A>R EBD> MH L>> : GM KBL> BG IKH`M:;BEBMR >::K +O>K MA> R>:KL ;>BG@ : O:EN> BGO>LMHKA:LPHKD>=P>EE?HKFRGML:G=F>

,;67A>;B

,KH?>LLHK&H>$HRE>M:EDL:;HNMMA>`O>FHLMBFIHKM:GMIHBGMLBG A:IM>K

2B>PMA>OB=>HHGEBG>:MAMMI;BMERAHRE>

$$"%+$*$,()%$


)*!#+/ - 3 -$. .

' + ) * % $ )

3ARBLMA>BG?HKF:MBHGK>IHKM>=;R`G:GK>GMH:FBLLM:M>F>GMPA:MBLF>:GM;RF:M>KB:EBMR $HPBLF:M>KB:EBMR=>M>KFBG>= 3A>GBL:FBLLM:M>F>GMK>=?K:N= ,KHOB=>L>O>K:E>Q:FIE>LH?NGKM:BGMB>L?:=;R;NLBG>LL>LMA:MR>:KL

3ARBL1/#,LHBFIHKM:GMMHMA>MLRLM>FBGMA>1GBM>=/M:M>L 3ARBLMA>K>:INLAMH:KG:MBHG:E"BG:GIHKMBG@/M:G=:K=L%"./:LMA>NGBO>KL:ELM:G=:K=L

?HK`G:GM\:G=@BO>L>O>K:E>Q:FIE>L >`G>[EB:;BEBMR\:G=@BO>L>O>K:E>Q:FIE>L 3A:MBLF>:GM;RMA>M>KF[G>M:LL>ML\ >`G>[K>O>GN>\ >`G>[>QI>GL>\

* ( + % ( " )

9999)HLMLK>JNBK>LMA:MHI>K:M>PBMABGMA>BK;HK=>KLMH?HEEHP1/#,BGIK>I:KBG@MA>BK`G:GF>GML

9999HFI:GB>L?:F:GRNGKM:BGMB>LPA>GIK>I:KBG@MA>BK`G:GF>GML 9999%?:IHKML>JNBIF>GM:FHNGMMA:MBM:=:L:IKH;:;E>?NMNK>>`MMA:M:GHK@:GBS:MBHGHPGLHK:MBHGH?1/#,BLIKBF:KBER=HG>;RMA>1/@HO>KGF>GM 9999%"./A:L;>>GBGPB=>NL>BGF:GRLLBG 9999%GHK=>K?HKBGO>LMHKLMHIKHI>KER>O:EN:M>MA>`G:GLLHKHMA>K

HK@:GBS:MBHGBMBLOBM:EMA:MMA>`G:G>Q:LH?PA>GMA>:P:L0ABLBG?HKF:MBHG

=:FBLLM:M>F>GM 9999):M>KB:EBMR=>I>G=LHGMA>LBS>H?MA>HK@:GBS:MBHG

9999F:M>KB:EFBLLM:M>F>GMMA:MBLF:=>BG:L>MH?`G:GF>GMLBL::LEHG@:LMA>K>BLHGERHG>

9999FBLLM:M>F>GMA:LMH;>=;R?K:N= 99990A>K>IHKMBG@H?:I>G=BG@E:PLNBMBLK>E:MBO>ERLBFIE> 9999+G>;NLBG>LLA:L:FBLLM:M>F>GMH?MA:MBL=;R?K:N=%M:ELHA:L:GHMA>K

FBLLM:M>F>GMH?MA:MBL=;R>KKHK%?HG>H?MA>L>FBLLM:M>F>GMLBLF:M>KB:EMA>GMA>R;HMA:K>

9999+GER:=MHNG=>KLM:G=MA>M>KFBGHEH@RMA:MBL?HNG=BG:

# + " * & " %

3AB?HEEHPBG@BLGHM:G>Q:FIE>H?:GNGKM:BGMRMA:MLH?M>G?:BGMA>BK`G:GIHKMBG@

: /:E>LMA:MA:O>GHMR>M;>>G=BGL< EH:G=N>MH:;:GD= E:PLNBMMA:MA:L;>>G`E>=:@:BGLMMA>:;HNM1/#,

: 1/#,A:L;>>G=>O>EHI>=HO>KMA>I:LMM>GR>:KL; 1/#,:EEHPL`G:GF>GMNL>KLMHMA>`G:GPHKE=< 1/#,A>EIL:Q:L>GM:MBHGH?:EILBGO>LMHKL:G==BMHKL>O:EN:M>MA>`G:G:EMAH?:;NLBG>LL

-N>LMBHGL:G=:K>;:L>=HGMA>?HEEHPBG@)BD>#HF>SHPGL:FNLB=)BD>ZL)NLB0A>LMHK>A:LBGO>GMHKR?HKL:E>MA:M

BGLIB:GHL@NBM:KL:G=HMA>KFNLBGML)BD>K>GMLMA>;NBE=BG@BGPABBLEH=;NMHPGLMA>>JNBIF>GM:G=`QMNK>LBGLB=>BM(:LMP>>D)BD>ZL)NLBL:E>LH?/HF>H?MA>L:E>LP>K>F:=>BGP>K>F:=>MHKLPAHA:O>:G:=:MMA>>G=H?MA>FHGMA(:LMFHGMA)BD>ZL)NLB=?KHF:EHQI:G=MA>:FHNGMH?BGO>GMHKR;>BG@LHE=

3AB?HEEHPBG@BLGHM:G:LL>MHPG>=;R)BD>ZL)NLBBGO>GMHKRH?FNLBGML; 0A>;NBE=BG@BGPABLMHK>BLEH=< 0A>:FHNGMHP>=MH)BD>ZL)NLB>JNBIF>GM:G=`QMNK>LBGMA>LMHK>

3AB?HEEHPBG@BL:EB:;BEBMRMH)BD>ZL)NLBEH:G:FHNGMMA:MFNLM;>K>I:B=MHMA>;:GD; 0A>:FHNGMHP>=MH)BD>ZL)NLBL:E>L)BD>ZL)NLBE:LMP>>D= 0A>L:E>LF:=>E:LMP>>D

3AB?HEEHPBG@LM:M>F>GMLBLMKN>

: )BD>ZL)NLBI:KMRMH:;HNMBML`G:GL:E>L)BD>ZL)NLBE:LMP>>D:K>K>=K>O>GN>< 0A>BGM>GMH?)BD>ZL)NLBQI:G=BL:G:LL>M= 0A>L:E>L)BD>ZL)NLBHG=BME:LMP>>DBLOB>P>=:L:EB:;BEBMR

0A>HFI:GRK>IHKML`G:GGMB:EBGO>LMHKL0A>BG?HKF:MBHGBLL:B=MH;>[IK>L>GM>=?:BKER::G

: 0A>BG?HKF:MBHGKB:EFBLLM:M>F>GML:L:G=LM:G=:K=LH?1/#,

; 0A>BG?HKF:MBHGBLKNE>LH?1/#,< 0A>BG?HKF:MBHGBMA>K>KKHKLGHK?K:N=NE>GMGNF;>KL:LLI>=;R1/#,= 0A>BG?HKF:MBHGBLMHMA:MK>IHKM>=;RHMA>KL:KHNG=MA>PHKE=

3AB?HEEHPBG@LM:M>F>GMLBLMKN>

: ?>KK>=MH:L%"./:K>FHK>QMA:GMAHL>>QBLMBG@PBMABG1/#,; ?>KK>=MH:L%"./A:O>;>>G=>O>EHI>=?HK:LEHG@:I>KBH=H?MBF>:LMA>KNE>L

MA:MF:D>NI1/#,< ?>KK>=MH:L%"./A:O>;>=HFBG:GMBGMA>PHKE=H?:1GBM>=/M:M>L= ?>KK>=MH:L%"./PBEE;>F:G=:MHKRBGMA>1GBM>=/M:M>LBG

0A>.>FBG@LABK>HKIHK:MBHGI:B=:MMA>>G=H?MA>P>>DMH>FIEHR>>LPAHPHKD>=?HKMA>;NLBG>LL=NKBG@MA:MP>>D0A>K:MMA>>G=H?MA>P>>D?HKK>GMHGMA>K>M:BELI:MA:MP:LH>D3AB?HEEHPBG@LM:M>F>GMLBLMKN>

: 0A>BL:G>QI>GL>?HKMABLI>KBH=;NMMA>BLGHM; 0A>BL:G>QI>GL>?HKMABLI>KBH=;NMMA>BLGHM

$$"%+$*$,()%$


< *>BMA>KMA>GHKMA>BL:G>QI>GL>?HKMABLI>KBH== HMAMA>:G=MA>:K>>QI>GL>L?HKMABLI>KBH=

+bHLMHGHFI:GRA:O>CNLM;HKKHP>=HG:MAK>>R>:KEH:G?KHF:;:GD3AB?HEEHPBG@BLMKN>

: 0A>QI>GL>:L:K>LNEMH?MABLMK:GL:M:LL>MLA:O>@HG>=HPG:L:K>LNEMH?MABLMK:GL:M:LL>KMLA:O>@HG>NI:L:K>LNEMH?MABLMK:GL:ML:L:K>LNEMH?MABLMK:GL:

& ( % " # )

):KD>:?HEEHPBG@PBMA:GMHBG=BBMBL:G:LL>M:G(MHBG=BBMBL:EB:;BEBMR:G.MHBG=BBMBLK>O>GN>HK:G!MHBG=BBMBL:G>QI>GL>

: 9999:LA; 9999NBE=BG@< 9999(H:G=N>MHMA>;:GD= 9999%GO>GMHKR> 9999/:E:KR>QI>GL>? 9999.>GM>QI>GL>@ 9999FHNGMLHP>=MH>FIEHR>>L?HKPHKD=HG>A 9999!JNBIF>GMB 9999FHNGMLHP>=MHLNIIEB>KLC 9999/:E>L

"HK>:?HEEHPBG@BG=B:ME>:LMHG>:K>:H?NGKM:BGMRMA:MPHNE=BFI:`G:GIHKMBG@H?MA>;:E:G

: %GO>GMHKR; .>BO:;E>?KHF:K< !JNBIF>GM= %GM:Q>LI:R:;E>> (B:;BEBMR?KHFE:PLNBM

0A>3BGLEHPHKIHK:MBHGHI>K:M>L:C>P>EKRLMHK>BG0HI>D:':GL:L0A>;NLBG>LLA:LK>GMERBLLN>=:L>MH?`G:GF>GML+G>:LL>MBGO>GMHKRP:LK>IHKM>=:MFBEEBHG(:M>KBMP:L=>M>KFBG>=MA:MMABL;:E:GP:LFBLLM:M>= >LL>O>K:EK>:LHGLPARMABLFBLLM:M>F>GMFB@AMA:O>A:II>G>=

"HK>:?HEEHPBG@>O>GMLBG=BPA>MA>KMA>G>M:LL>MLH?MA>K>IHKMBG@=>:L>HKK>F:BGMA>L:F>

: 0A>L?HKLHF>INKLF:=>E:LMFHGMA:G=I:RLMA:M:FHNGMGHP; 0A>EEL:L>KOBMH:K?HKPBMAI:RF>GMF:=>BFF>=B:M>ER= 0A>EEL:L>KOBMH:K?HK;NMI:RF>GMPBEEGHM;>F:=>?HKL>O>K:E

FHGMAL> 0A>K:EIB>LH?>JNBIF>GM? 0A>GM>=:E:K@>MKN=:R?HKPAB>G=H?MA>PHKD=:R

$$"%+$*$,()%$


( ) ( ) ) $ # $ * )

#HMH AMMIPPP:;HNMF6NE3>;LBM>E>?MH?MA>I:@>EBIHKML\HGMA>KB@AMH?MA>G>QML>G"BG:EERKMA>?HEEHPBG@JN>LMBHGL

: +GI:@>H?MA>:GGN:EK>IHKM?HK#5A@3>6NERHNPBEEL>>:EBLMH?K>O>GN>L:G=>QI>GL>L3A:MBLMA>E:K@>LMK>O>GN>:G=PA:MBLMA>:FHNGM3A:MBLMA>E:K@>LM>QI>GL>:G=PA:MBLMA>:FHNGM

; +GI:@>H?MA>:GGN:EK>IHKM?HK#5A@3>6NERHNPBEEL>>:EBLMH?:LL>ML:G=EB:;BEBMB>L3A:MBLMA>E:K@>LM:LL>M:G=PA:MBLMA>:FHNGM3A:MBLMA>E:K@>LMEB:;BEBMR:G=PA:MBLMA>:FHNGM

#ADBAD3F;A@ IKHOB=>LBG?HKF:MBHG:;HNM:KLNG=>KLM:G=MA>`G:GF>GMLMA:MMA>;NLBG>LLIKHOB=>L#HMHMA>?HEEHPBG@1.(:G=K>:=MA>L>L>GM>=HG[LL>ML\:G=HG[(B:;BEBMB>L\

AMMIPPPB;FLMHKA>EI@NB=>LM:M>F>GM;:LBML"HKMA>K:@>H?:LL>ML:G=MA>G:ELH?HKEB:;BEBMB>LEBLMMPHIB>LH?BG?HKF:MBHGMA:MRHN:EK>:=R

DG>P;:L>=HGMA>K:@>A>K>BG A:IM>K*>QMEBLMHG>IB>H?BG?HKF:MBHG:;HNM;HMA:LL>ML:G=EB:;BEBMB>LMA:MRHNE>:KG>=?KHFMA> # >LL:R

#HMHAMMIPPP@HH@E>;HQE:;>E>=[#>MJNHM>L\>GM>K[ A:@EA@ A:@EA@\+GMA>I:@>MA:M:II>:KLLLMHK.>E:MBHGL\HGMA>KB@AMLB=>EBGE>?MLB=>H?MA>G>QMI:@>EBIHKM\BGMA>FB==E>H?MA>G>QMI:@>MA:M:II>:KL?M>KMA>:GGN:EK>IHKM=HPGEH:=LL5HNLAHNE=`G=:EBLMBG@H?MA>ML:G=EB:;BEBMB>L

: 3A:MBLMA>MHM:E:FHNGMK>IHKM>=?HKMA>ML; 3A:MBLMA>MHM:E:FHNGMK>IHKM>=?HKMA>L< >M>KFBG>MA>G>M:LL>ML?HK A:@EA@ A:@EA@

&*(-*)%+")%$#!()!$%-$%((*%#!%%)%$)%+*$%($0*%$


))*/ .

)BE .:IHIHKM [ > : .>:E NLBG>LL\ Wall Street Journal N@NLM

0A> PB=>L `G:GEM=HPG BG MA> PHKE= >@:G MH ;> >OB=>GMBG INM : L>KBHNL LMK:BG HG MA> MK:=BMBHG:E E 0A> 1GBM>= /M:M>L :G=HMA>K @HO>KGF>GML A:= MH LI>G= ;BEEBHGL H? =HEE:KL MH ;:BE HNM :G= BG LHF> L

M:D> HO>K F:CHK >GM>KIKBL>L 3A>MA>K 1/ #, =HG> : ;>MM>K CH; MHA>EI:OHB=MABL?NEERDGHPG?HKR>:KL

0ABL BL HG> H? MA> HI>GBG@ KL BG :G BGMKH=NPA:M LBFIEB`>= A>K> LH MA:M MA>R PBEE ;> FHK> NG=>KLM:G=:;E>MH LMN=>GML PAH :K> CNLM ;>@BGGBG@ MA>BK >QIEHK:MBHG H? :`GBMBHGL PBEE ;> >QI:G=>= BG E:M>K KL H? MABL M>QM;HHD HK BG NII>KE>O>E `G:G H?M>G L :G BFF>=B:M> K>=NML >LI>

financial accounting ch02

Documents

f 7h7dk

3a9age fa f

f a4e7eeh7k 355gd3f7

bma lh f

f7des 4753ge7 a8 f

gm bg h

e fbllm

e r473