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Please refer to Zynga attachment. Answer the questions below. 1) What information does Bookings induce? Is the tolerable information for sale in the GAAP-based monetary statements? The information Bookings contain is that: the comp separately indicate sale of realistic goods as deferred value income and then recognize the receipts over the estimated amount animation the buyd realistic goods or as the virtual goods are frame waste tod. The behavior that Zynaga recognized revenue is based on the estimated life of virtual goods. This is not the same information available in the GAAP-based financial statements. Under GAAP, companies use accrual ground which they recognize revenue when they perform the service. 2) Do you think this is a multipurpose monetary standard? wherefore or why not? Yes. This is a useful measure for companies like Zynaga. For customers who purchase virtual goods, they would not consume it immediately. Not until they to the fully con sumed these virtual goods, they would not purchase any other new products. Therefore, it is rattling reasonable for companies like Zynaga to record revenue based on its estimated life. 1. What is Staples financial socio-economic class- abrogate? Why do you think they piece this date on which to overthrow their fiscal year? Staples fiscal year is the 52 or 53 weeks ending on the Saturday closest to January 31.

Fiscal year 2010 (2010) consisted of the 52 weeks stop January 29, 2011, fiscal year 2009 (2009) consisted of the 52 weeks ended January 30, 2010 and fiscal year 2008 (2008) consisted of the 52  weeks ended January 31, 2009. The reason ! Staples choose this date is that: Staples bank line is seasonal, with sales and profitableness historically higher during end of year and January due to the hindquarters to school, holiday and January back to business seasons. Therefore, in order to chance upon its sales number sounding better, Staples choose this date as their fiscal year end. 2. Staples accounts for its arsenal using the weighted average cost method. Under this method, each unit of inventory is...If you involve to get a full essay, order it on our website: BestEssayCheap.com

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