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Resources for Accountants

What is Cognitive dissonance: Easy explanation. [Video]

What is Cognitive dissonance: Easy explanation.

In this video, you will learn about a concept known as cognitive dissonance.

#cognitivedissonance #decisionmaking #wallstreetmojo #financialmarkets #investing

Chapters:
00:00 – Introduction
00:34 – What is cognitive dissonance?
01:26 – Application in Finance
04:39 – Conclusion

What is cognitive dissonance?
Cognitive dissonance is a situation people may find themselves in. They cannot arrive at a conclusion or take any decision, which causes too much mental stress.

This may be because they may have two or more beliefs in their minds that are conflicting with each other, and that’s what’s stopping them.

(Explained in detail in the video)

Application in Finance
Cognitive dissonance is not just a psychological concept but is also a concept in behavioral finance.

In the video, we discussed three scenarios where investors or traders may fall for cognitive dissonance, hindering their optimal decision-making process.

(Explained in detail in the video)

This was all about cognitive dissonance. Subscribe to the channel if you haven’t already, and don’t forget to like the video.

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Resources for Accountants

Overview of ASC 805 [Video]

Accounting for business combinations under ASC 805 can be quite complex! Do you know the difference between a business combination and an asset acquisition under U.S. GAAP? The answer to this question is important because the accounting is totally different! No worries. We have you covered in this CPE-eligible, eLearning course (1.5 CPE)! In this online course we begin with the definition of a business and whether a transaction falls within the scope of ASC 805. We then provide you with an overview of the 4-step acquisition method set out in ASC 805, including whether assets and liabilities acquired should be recognized apart from goodwill and, if so, how they should be measured. If you’re new to the accounting for business combinations under U.S. GAAP, this course is a great place to start! Take the course: https://www.gaapdynamics.com/product/business-combinations-overview-of-asc-805/ Buy all three courses and save! https://www.gaapdynamics.com/product/asc-805-business-combinations/ Learn more about GAAP Dynamics: https://www.gaapdynamics.com/ Check out our other online courses on the GAAP Dynamics Learning Library: https://www.gaapdynamics.com/individual-learning/ Subscribe to GAAP Dynamics to see more videos like these!

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Resources for Accountants

Application of ASC 805 [Video]

This is the introductory video for the third course of the three-part Business Combinations eLearning series. Now that you are familiar with the basic accounting rules and certain ASC 805 advanced issues, this course will apply that knowledge by walking through an example acquisition and requiring you to identify the proper accounting treatment. Take the course: https://www.gaapdynamics.com/product/business-combinations-application-of-asc-805/ Buy all three courses and save! https://www.gaapdynamics.com/product/asc-805-business-combinations/ Learn more about GAAP Dynamics: https://www.gaapdynamics.com/ Check out our other online courses on the GAAP Dynamics Learning Library: https://www.gaapdynamics.com/individual-learning/ Subscribe to GAAP Dynamics to see more videos like these!

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Resources for Accountants

Internal Rate of Return (IRR) | Formula | Calculation with Example [Video]

In this video on internal rate of return (irr), here we learn formula, example of irr along with significance and its drawbacks.𝐖𝐡𝐚𝐭 𝐢𝐬 𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐥 𝐑𝐚𝐭𝐞 𝐨𝐟 𝐑𝐞𝐭𝐮𝐫𝐧 (𝐈𝐑𝐑)?-------------------------------------------------------------------Internal return rate is the rate at which the net present value of the project is zero, the rate at which future cash flows are adjusted to calculate the present value.𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐥 𝐑𝐚𝐭𝐞 𝐨𝐟 𝐑𝐞𝐭𝐮𝐫𝐧 (𝐈𝐑𝐑) 𝐅𝐨𝐫𝐦𝐮𝐥𝐚-------------------------------------------------------------------NPV= 0= CF0 + CF1/(1+IRR)^1 + CF2/(1+IRR)^2 + ..... CFn/(1+IRR)^n𝐒𝐭𝐞𝐩𝐬 𝐭𝐨 𝐂𝐚𝐥𝐜𝐮𝐥𝐚𝐭𝐞 𝐈𝐑𝐑 𝐢𝐧 𝐄𝐱𝐜𝐞𝐥------------------------------------------------------#1 - Calculate Cash inflows and outflows in a standard format.#2 - Use the IRR formula in Excel#3 - Compare IRR to Discount Rate𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐥 𝐑𝐚𝐭𝐞 𝐨𝐟 𝐑𝐞𝐭𝐮𝐫𝐧 (𝐈𝐑𝐑) 𝐒𝐢𝐠𝐧𝐢𝐟𝐢𝐜𝐚𝐧𝐜𝐞-------------------------------------------------------------------------The IRR of any project shall be estimated taking into account the following three assumptions:1- The investments made are kept until the maturity dates.2 - The intermediate cash flows will reinvest itself in IRR.3 - By nature all cash flows are periodic, or the time gaps between various cash flows are equal.To know more about 𝐈𝐧𝐭𝐞𝐫𝐧𝐚𝐥 𝐑𝐚𝐭𝐞 𝐨𝐟 𝐑𝐞𝐭𝐮𝐫𝐧 (𝐈𝐑𝐑), you can go to this 𝐥𝐢𝐧𝐤 𝐡𝐞𝐫𝐞:- https://www.wallstreetmojo.com/internal-rate-of-return-irr/Subscribe to our channel to get new updated videos. Click the button above to subscribe or click on the link below to subscribe - https://www.youtube.com/channel/UChlNXSK2tC9SJ2Fhhb2kOUw?sub_confirmation=1

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Resources for Accountants

Advanced Issues and Disclosures [Video]

This is the introductory video to our self-study eLearning course "Business Combinations: Advanced Issues and Disclosures." Check it out here: https://www.gaapdynamics.com/product/business-combinations-advanced-issues-and-disclosures/ This is the second course of the three-part Business Combinations eLearning series. Now that you are familiar with the basic accounting rules, this course dives deeper into more advanced business combination issues such as exceptions to general guidelines, noncontrolling interests, and measurement period adjustments. Learn more about GAAP Dynamics: https://www.gaapdynamics.com/ Check out our other online courses on the GAAP Dynamics Learning Library: https://www.gaapdynamics.com/individual-learning/ Subscribe to GAAP Dynamics to see more videos like these!