When You Loan Your Camera to Someone, and He Sells

question 103

Short Answer

When you loan your camera to someone, and he sells it to a third party, for what can you sue the person to whom you loaned it?

---

Definitions:

Adjusting Entries

Journal entries made at the end of an accounting period to update certain accounts and ensure they reflect the true financial position of a company.

Adjusting Entries

These are journal entries made in the accounts to adjust revenues and expenses to the period in which they actually occurred, ensuring that financial statements reflect accurate figures.

Estimated Items

Financial statement items that require a degree of estimation by management to determine the appropriate values to record.

Prepaid Assets

Expenses paid in advance which are recorded as assets because they provide future economic benefits to the company.