Diamond Company Changed from the Completed-Contract Method of Accounting for Long-Term

question 38

Essay

Diamond Company changed from the completed-contract method of accounting for long-term contracts to the percentage-of-completion method,during 2014.Reported earnings in 2013 were $50,000,and the beginning 2013 retained earnings balance was $150,000.Net income for 2014 under the competed-contract method would have been $140,000.No dividends were declared during 2013 and 2014.

Required:
Prepare the 2013 and 2014 comparative retained earnings statements.

Recognize the role of observational learning in the development of phobias and anxiety disorders.

Understand the impact of serotonin and other neurotransmitters in anxiety and mood disorders.

Identify the signs and symptoms of major depressive disorder and bipolar disorder.

Recognize the seasonal patterns in affective disorders and their implications for understanding depressive episodes.

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Definitions:

Circular Reasoning

A logical fallacy in which the conclusion of an argument is used as a premise of the same argument.

Weak Analogy

A flawed argument in which two items being compared are not sufficiently similar in relevant aspects.

Circular Reasoning

A logical fallacy in which the conclusion is supported by premises that assume the conclusion's truth, thus not providing any actual evidence.

Irrelevant Reasoning

Engaging in argument or thought processes that do not logically pertain to or impact the matter at hand.