The defect of expected income theory lies in the prediction accuracy of the debtor’s future income.
举一反三
- Identify which of the followingadjustments to after-tax operating income is used to approximate cash income.
- In the US, the primary source of newspaper income is circulation rather than advertising income.
- Which of the following is NOT a reason why cash flow may not equal net income? A: Amortization is added in when calculating net income. B: Changes in inventory will change cash flows but not income. C: Capital expenditures are not recorded on the income statement. D: Depreciation is deducted when calculating net income.
- In the Linder theory of trade, a country sends goods to other countries which , and the greatest trade of a country is expected to be with countries which have per capita income levels that of the original country.
- Past costs may affect future payments for income taxes.