Adele released her third album, 25, in late 2015, quickly shattering several records. The album 25 was the first album to sell more than three million copies in a week and also racked up the most records sold in a week with 3.38 million records sold that first week. Her single Hello from 25 was […]
Continue reading
Archive | Financial accounting RSS feed for this section
How would Reverb, the online marketplace for musicians, record its issuance of $25 million of stock?
February 9, 2016 
0 Comments
Started in 2013, Reverb is a company that provides an online marketplace for musicians to buy and sell gear. Its investors include country music superstar Brad Paisley and Rick Nielsen of Cheap Trick. Reverb can be thought of as the “Ebay for musicians.” The wide scope of the Ebay marketplace makes it hard at times […]
Continue readingWhat is the impact of Toshiba’s credit line on its financial statements?
February 2, 2016 0 Comments
In 2015, Toshiba Corp. (TOSBF) announced that it had overstated profits by nearly $2 billion over a six year period. It has since announced that it could lay off up to 10,000 workers. In addition, Toshiba is selling its television manufacturing plant in Indonesia to raise cash. These events have all been part of the […]
Continue readingAt Lululemon, how can sales be up while gross margin is down?
January 28, 2016 0 Comments
Founded in 1988, Lululemon Athletica Inc. (LULU) is an athletic apparel company headquartered in Canada. Lululemon has helped to popularize the ubiquitous yoga pants in the U.S. While it has experienced some sales declines due to a recall of yoga pants in 2013 for being too sheer, Lululemon has revamped its product line to update […]
Continue readingWhich contingent liabilities resulting from the Volkswagen (VW) emissions cheating scandal would be recognized or disclosed in Volkswagen Group’s financial statements?
January 19, 2016 2 Comments
Volkswagen manufactures the iconic Beetle in addition to other models including the Passat, the Jetta, and others. Volkswagen Group (VW) has been embroiled in an emissions cheating scandal discovered in 2015. Essentially, what happened is that VW’s engineers developed and inserted software in VW car engines to cheat on the emissions testing process, making its […]
Continue readingWhen would L.L. Bean recognize sales revenue from the sale of its backordered Bean boots?
January 4, 2016 2 Comments
L.L. Bean operates two factories that produce its popular Bean boots (also known as “duck boots”) in its home state of Maine. Since L.L. Bean prides itself on manufacturing its boots in Maine and not outsourcing, backorders for its boots can be high. In 2014, L.L. Bean sold about 450,000 pairs of the boots. At […]
Continue readingWhat happens from an accounting standpoint when FNB Bancorp issues a stock dividend?
December 10, 2015 0 Comments
FNB Bancorp recently declared a stock dividend, according to a recent news release[1]: FNB Bancorp (OTCQB: FNBG), the holding company for First National Bank of Northern California, announced that its Board of Directors has declared a stock dividend of approximately 210,709 shares, payable at the rate of one share of Common Stock for every twenty (20) shares of […]
Continue readingWhat are the dates associated with Molson Coors Brewing Company’s dividend announcement?
December 3, 2015 0 Comments
On November 12, 2015, Molson Coors Brewing Company (TAP) released a dividend announcement. An excerpt from that news release is as follows: DENVER & MONTREAL–(BUSINESS WIRE)–Nov. 12, 2015–Molson Coors Brewing Company (NYSE: TAP) today declared a regular quarterly dividend on its … common shares of US $0.41 per share, payable December 15, 2015, to shareholders of record on November 30, 2015. Questions […]
Continue readingAre the articles of secondhand clothing offered for sale on thredUP’s online store included in inventory on thredUP’s balance sheet?
November 23, 2015 0 Comments
ThredUP is a startup online consignment and thrift store. Consumers can buy like-new, carefully vetted brand-name clothing from thredUP’s online store at discounts of up to 80% off of the original retail prices. Consumers can also send in their unwanted clothing articles for thredUP to resell. ThredUP’s professional buyers go through the articles of clothing […]
Continue readingHow can a common-size income statement help analysis of Pandora’s results of operations in 2015 compared to 2014?
November 12, 2015 0 Comments
Pandora Internet Radio by Pandora Media (P) is a streaming music service. Its free advertising-supported radio service was first launched in 2005. Pandora users streamed 20.03 billion hours of internet radio during 2014. In December 2014, there were 81.5 million active users of Pandora, making it the largest streaming music service currently. Pandora has a […]
Continue reading
Accounting in the Headlines 