Over the past year, The Walt Disney Company (DIS) has made the news because it increased its ticket prices at Walt Disney World in Florida, Disneyland Park in California, and other parks around the world. Ticket revenue, however, is not its only source of revenue. The following is an excerpt from the Notes to Consolidated […]
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What impact do lower fuel costs and other changes have on an airline’s net income?
January 16, 2015 
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American Airlines Group (AAL), the world’s biggest airline, has been reporting record profits in recent quarters. United Continental Holdings and Southwest Airlines also reported record profits. Part of what has contributed to the record profits has been the decline in the cost of oil. The price of oil has fallen during 2014; we are spending […]
Continue readingWhat is the impact on American Apparel’s current ratio of the loan it received from Standard General?
July 10, 2014 0 Comments
American Apparel has been in the news in recent weeks. Its board fired CEO Dov Charney amid several reports of his misdeeds. The company has also lost $270 million over the past three years. Last week, one of American Apparel’s creditors, Lion Capital, called a $10 million loan it had made to American Apparel. (“Calling” […]
Continue readingStudent handout: Four steps to determine what to debit or credit
October 8, 2013 0 Comments
Here is a handy list of questions to help guide students through the thought process involved with determining what to debit or credit in a given transaction. (I also have this list in pdf format for handout purposes.) Step 1: Pick ONE account that is affected by this transaction Step 2: Is this account you […]
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Accounting in the Headlines 