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Q6-1: What are accounting standards?Q6-2: Summarize the IASBs Framework for the Preparation and Presentation of Financial Statements.Q6-3: A business has the following balances in its financial records: Income tax 30000; Selling & administration expenses 80000; Revenue 350000; Interest expenses 15000; Cost of Sales 190000. How much is the Gross profit Operating profit and the Net Profit after tax?Q6-4: What are some ways you can express the accounting equation?Q6-5: The following items appear in a Statement of Financial Position: Receivables 200000; Payables 350000; Inventory 100000; Non-current assets 750000; Long-term loan 400000. What is the balance of Shareholders funds (SH Equity)?Q6-6: ABC buys a smaller company XYZ for a negotiated price of 1 million. XYZ’s assets are valued at 750000. Assuming goodwill is amortized over 5 years what is the value of goodwill in ABCs Statement of Financial Position at the end of the third year after acquisition?Q6-7: What is Agency theory and what is it primarily concerned with?Q7-1: What is the difference between ROI and ROCE ratios?Q7-2: Use the following information extracted from ABCs Income Statement and Balance sheet to determine ABCs Days Sales Outstanding Inventory Turn and Payables Days Outstanding:Sales 4200000; Gross profit 2700000; Receivables 630000; Payables 275000; Inventory 300000.ABC calculates its financial ratios based on being open for business 6 days per week for 50 weeks per year.Q7-3: A company has capital employed of 1000000 and generates a profit after tax of 300000. Assume the company has a balance sheet with 60% debt. What is the ROI? Now assume the company has a balance sheet with 40% debt. What is the ROI?Q7-4: A business has current assets of $35000 and current liabilities of $20000. It collects its receivables more quickly and uses $10000 of its cash at bank to repay a long-term debt. What is the effect on the working capital ratio after the long-term debt is repaid?Q8-1: How is inventory valued in the Balance Sheet (Statement of Financial Position)?Q8-2: In a manufacturing business when the company has completed production on inventory it wishes to sale explain flow of costs for affected inventory accounts.Q8-3:A business purchases inventory stock on four separate occasions. Purchased 3500 units at a total cost of 8050; Purchased 3000 units at a total cost of 7110; Purchased 4000 units at a total cost of 9600; and Sold 5995 units at a total price of 24760. Each purchase was completed in the order provided within the same period. Match the inventory method with the correct cost of sales and the correct value of inventory.