ACC Additional Theory Questions Essay

ACC Additional Theory Questions Essay ACC Additional Theory Questions Essay Chapter 2 1. The primary objective of financial reporting is to communicate information to permit users of the information to make informed decisions. 2. Qualitative characteristics make accounting information useful. Understandability: the quality of accounting information that makes it comprehensible to those willing to spend the necessary time. Relevance: the capacity of information to make a different decision. Reliability: the quality that makes accounting information dependable in representing the events that it purports to represent. Comparability: for accounting information, the quality that allows a user to analyze two or more companies and look for similarities and differences. Consistency: for accounting information, the quality that allows a user to analyze two or more accounting periods for a single company. Materiality: the magnitude of an accounting information omission or misstatement that will affect the judgment of someone relying on the information. Benefit versus cost constraint. 3. Depreciation: the process of allocating the cost of a long-term tangible asset over its useful life. Also termed amortization. 4. Materiality: the magnitude of an accounting information omission or misstatement that will affect the judgment of someone relying on the information. 5. Benefit versus cost constraint: the benefits of accounting information should exceed the costs of providing the information. 6. Classified balance sheet is helpful in evaluating the liquidity of a business. 7. Current assets: cash or sold or consumed during the operating cycle or within one year if the cycle is shorter than one year. eg, cash, accounts receivable, inventory prepaid expense. Non-current assets: any assets that do not meet the definition of a current asset. Current liabilities: an obligation that will be satisfied within the operating cycle or within one year if the cycle is shorter than one year. Long-term liabilities: any obligation that will not be paid or otherwise satisfied within the next year or the operating cycle. Shareholders equity: represents the owners’ claims on the assets of the business. 8. It is useful in any analysis of a company’s financial position by separating both assets and liabilities into those that are current and those that are non-current. 9. Income statement is used to summarize the results of operation of an entity for a period of time. Single-step income statement: an income statement in which all expenses are added together and subtracted from all revenues. 10. The statement of retained earnings provides a link between the income statement and balance sheet. Beginning retained earnings, net income, dividends declared and paid and retained earnings are included. 11. The statement of cash flows classifies cash inflows and outflows as originating from three activities: operating, investing and financing. 12. Income statement should be completed first. Income statement-Balance sheet-statement of retained earnings-cash flows statement. Working capital: current assets – current liabilities Current ratio: current assets/current liabilities Profit margin: net income/sales or revenue Chapter 3 1. Event: a happening of consequence to an entity. Transaction: any event that is recognized in a set of financial statements. 2. External event: involves interaction between the entity and its environment. eg, the payment of wages to an employee, hiring of a new employee. Internal event: occurs entirely with in the entity. eg, the use of a piece of equipment. When an event is recognized in a set of financial statement then it is a transaction. 3. Source document provides the evidence needed in an accounting system to record a transaction. Chapter 4 1. When economic events affect on the financial statement. 2. Recognition: the process of including an item in the financial statement of an entity. 3. Historical cost: the amount paid for an asset and used as a basis for recognizing it on the balance sheet and

CreateSpace is DEAD. Heres what you need to know.

CreateSpace is DEAD. Heres what you need to know. CreateSpace is DEAD. Here's what you need to know. As all writers know, the process of self-publishing a book is ever-fluctuating and evolving. Case in point: CreateSpace, one of the premier print-on-demand (POD) services for self-published authors, recently merged with Amazon’s KDP Print in late 2018. As CreateSpace was one of the go-to options for anyone aiming to print a self-published book, the switch left many in the lurch and confused.That’s where this post comes into play. In this guide, we’ll look at the differences between CreateSpace and KDP Print, clear up any misunderstandings, and answer all of your lingering questions about the switch.What happened to CreateSpace? For anyone who’s not already familiar, let’s do a quick recap. CreateSpace used to be a print-on-demand service for self-publishing authors. As far as print-on-demand services went, CreateSpace was a popular one: the company made it easy to create paperback versions of books, even providing neat bells and whistles such as expanded distribution and printed proofs to make it a well-liked choice among authors.In 2005, Amazon acquired CreateSpace while it continued building its own POD service (KDP Print). In 2018, there were signs that CreateSpace might step aside entirely for KDP Print. And, in August 2018, that came true: it was announced that CreateSpace and KDP Print would merge completely. CreateSpace books would need to be moved onto the KDP platform, as CreateSpace would hitherto be obsolete.In summary, KDP has completely replaced CreateSpace and taken over its core functions. Now, here’s why that matters to you. First, you needn’t panic. KDP Print is an established platform and Amazon took many steps to make sure that the CreateSpace-KDP Print transition was smooth as possible. And the good news is, like we mentioned before, that KDP Print took on most of the features that had made CreateSpace so popular.With this in mind, most authors have reacted to the merge in one of two ways:Transferred all CreateSpace paperbacks to KDP Print. On KDP Print, you’ll be able to publish both paperbacks and eBooks - and receive your combined royalties - on a single platform.Explored print-on-demand services outside of Amazon’s dominion.So what can you expect to find if you decide to use KDP Print - and what are the similarites and differences between KDP Print and CreateSpace?Similarities between CreateSpace and KDPWhen merging CreateSpace and KDP Print, Amazon (for the most part) kept the best of both worlds.Indeed, there are more similarities between CreateSpace and KDP Print than t here are differences. KDP Print prints paperbacks, author copies, and proof copies for the same amount as CreateSpace. In addition to the printing facilities and delivery times remaining the same, these are other important aspects you can expect to remain unchanged:ISBNs. Authors will still have the option to use their own ISBN, purchase discounted Bowker ISBNs, or obtain free ISBNs with KDP Print as the imprint.Distribution and fees. Just as CreateSpace offered authors distribution to Amazon only (with a fee of 40%), and expanded distribution to stores other than Amazon (with a fee of 60%) - so will KDP Print. There is one key difference in regards to expanded distribution, which is outlined below.Book cover and interior design tools. The same Word templates and Cover Creator tool that CreateSpace offered will still be available on KDP Print.Differences between CreateSpace and KDPNow, these are some of the key differences you will find between the two services:Expanded distributio n. If you want to make your KDP Print book available for expanded distribution, you cannot also opt out of Amazon. Expanded distribution with KDP Print means that you must also list your book on Amazon.Royalties. On CreateSpace, royalties were paid every month, 30 days after the month in which they were earned. KDP Print, on the other hand, pays royalties 60 days after the month in which they were earned, meaning that any sales in February would be paid in April.Non-standard trim sizes. KDP Print offers several nontraditional trim sizes that weren’t previously available on CreateSpace.Updating books. If you upload an updated version of your book, you won’t lose the old version (which used to be frustrating if you’d already garnered many reviews and sales). The old version will continue to be available until the new version is approved.Integrated sales dashboard. Publishing and accounting are combined for both Kindle and print versions of your books, so that the user experience is vastly improved!Amazon advertising. While already available for ebooks, publishers will now also be able to purchase Amazon advertising for print books.Local printing for Europe. Instead of printing and shipping from the US (as CreateSpace did), KDP Print will print books locally for European publishers.Author copies. KDP Print lets you order author copies by adding them to your regular Amazon shopping basket, where they are treated as any other Amazon order. If your order is above Amazon’s minimum spend, or if you’re a Prime member, this should save time and money for you.Expanded international distribution. Authors will now be able to distribute to Japan.In general, most authors do end up switching to KDP Print, and most reports about the KDP Print experience are positive. We particularly recommend KDP Print if you want to distribute to Amazon, as you’ll end up saving on time and fees. (Distributing to non-Amazon online stores is another sto ry. Jump here for our discussion of this course of action). Expanded distribution, non-standard trim sizes, oh my! What are the other differences between CreateSpace and KDP Print?Click To Tweet And here’s the great news: transitioning from CreateSpace over to KDP Print is very seamless, as you'll find out for yourself shortly in the next section.How to switch from CreateSpace to KDP PrintIf you decided that you want to continue with KDP Print, Amazon’s made it pretty simple to transition existing titles on CreateSpace to KDP Print. You might even say that it’s as easy as one, two, three, (and four).Let’s get started.Begin by verifying your CreateSpace and KDP accounts on this page.Hit â€Å"Start your move† to begin importing your entire catalog from CreateSpace to KDP Print. Amazon will do it all for you at this point - the whole process should only take a minute or two!Double-check all of your ported data - just to make sure that Amazon imported everything correctly. This includes your titles, book covers, blurbs, and metadata.Double-check your pricing and distribution fields once everything is imported.And that’s it! From this moment on, everything you do to print your self-published book should go through KDP Print - and once you make the switch, there’s no returning to CreateSpace.Finally, a note on your metadata: KDP will offer you seven keyword fields, in contrast to the five that CreateSpace provided. That’s a great chance for added discoverability, so be sure to use them wisely. You can discover more about Amazon algorithms and ways to use them to your advantage in this free course. Level up your Amazon algorithmsSign up for this free 10-part course! Enter your email below and select 'Marketing - All You Need to Know About Amazon Algorithms' in the drop-down menu. Print and Distribute Your Book with Blurb and Reedsy Read post Of course, you may also decide that this is the perfect time to branch out and learn what exists beyond Amazon. Several other companies offer reputable print-on-demand services - each with its own pros and cons. These include:BookBabyIngramSpark (use that link to get a promo code!)BlurbLast year, we tested the quality of the four biggest print-on-demand services in the industry by sending a book to BookBaby, IngramSpark, KDP Print, and Blurb to be printed. Our comprehensive breakdown, along with the results (and winner) of our test, are in this post. We also go in-depth into our recommended distribution setup and considerations of royalties that may prove important to your decision.Where to print your book - and making sure that you get the maximum quality of service and product - is an important decision that you’ll need to make if you’re not planning to only publish eBooks. When you get to this stage in your self-publishing journey, it’s better to be fully i nformed. We hope that this post has cleared some things up for you, but if you have any more questions and concerns, please leave them in the comments and we’ll be happy to answer them to the best of our ability.Are you a self-published author who recently had to make the switch from CreateSpace to KDP Print? What did you think about the experience? Leave your thoughts in the comments!